Legacy Reserves looks to file plan by Friday, seeks competing offers

By Caroline Salls

Pittsburgh, July 30 – Legacy Reserves Inc. expects to file its plan of reorganization by Aug. 2, according to a company news release.

The company said it continues to meet the required milestones set in the global restructuring support agreement with its revolving credit facility lenders and second-lien term loan lenders and an informal group of senior noteholders.

Legacy said there are no provisions in the restructuring support agreement that prevent solicitation of additional proposals, and as a result, the company said it invited any interested parties to make offers or bid on the company at levels that could be deemed competitive to the proposed restructuring terms.

If the plan expected to be filed on Friday is confirmed and all conditions are met, Legacy said the plan will take effect in the fourth quarter.

According to the release, the company does not expect there to be any recovery for equityholders in its Chapter 11 cases.

The company is represented by Sidley Austin LLP as legal adviser and Alvarez & Marsal as restructuring adviser.

Legacy Reserves is a Midland, Tex.-based company focused on the acquisition and development of oil and natural gas properties. The company filed bankruptcy on June 18 in the U.S. Bankruptcy Court for the Southern District of Texas under Chapter 11 case number 19-33395.

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