BankruptcyData’s detailed analysis and summary of Breitburn Energy Partners’ Third Amended Joint Chapter 11 Plan of Reorganization (With Technical Modifications), dated March 13, 2018, is now available. The U.S. Bankruptcy Court confirmed the Plan on March 26, 2018; however, an effective date has not yet been issued.
BankruptcyData notes, “The Plan encompasses a comprehensive restructuring of the Debtors, that is the product of the Debtors’ arms-length negotiations and an agreement with holders of claims under the Third Amended and Restated Credit Agreement dated November 19, 2014, certain holders of the Debtors’ 9.25% Senior Secured Second Lien Notes due 2020, certain holders of the Debtors’ 7.875% Senior Notes due 2022 and 8.625% Senior Notes due 2020, and the Official Committee of Unsecured Creditors.”
In addition, “The Plan is premised on the division of the Debtors’ existing businesses and assets into two separate entities upon the occurrence of the Effective Date under the Plan: a newly-formed limited liability company (‘LegacyCo’) that will own all of the Debtors’ assets other than certain assets related to the Permian Basin; and a newly-formed corporation (‘New Permian Corp.’) that will acquire all of the equity of a newly-formed limited liability company (‘New Permian LLC’) that will own the Permian Assets. New Permian Corp. will also own 7.5% of the equity of LegacyCo.”
BankruptcyData premium level subscribers receive access to the full summary, which provides further details on corporate background, events leading to Breitburn Energy Partners’ May 15, 2016 Chapter 11 filing, recovery specifications and a comprehensive break-down of all claimant classes.
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