Quantcast
Channel: Daily Bankrupt Company Updates | Bankrupt Company News
Viewing all articles
Browse latest Browse all 4593

Paragon Offshore Bankruptcy Plan Filed

0
0

Paragon Offshore filed with the U.S. Bankruptcy Court a Third Joint Chapter 11 Plan of Reorganization and related Disclosure Statement.

According to the Disclosure Statement, “There are three (3) primary creditor groups whose acceptances of the Plan are being solicited: 1. Holders of a Revolver Secured Claim or a Term Loan Secured Claim (Class 3); 2. Holders of a Senior Notes Claim or a Secured Lender Unsecured Claim (Class 4); and 3. Holders of a General Unsecured Claim (Class 5).”

In addition, “Settled Claims comprising Revolver Secured Claims and Term Loan Secured Claims (Class 3) will be Allowed. On the Effective Date, each holder of an Allowed Revolver Secured Claim or an Allowed Term Loan Secured Claim will receive, in full and final satisfaction, compromise, settlement, release and  discharge of, in exchange for and on account of such Allowed Revolver Secured Claim or Allowed Term Loan Secured Claims, as applicable: its Pro Rata share of (i) Cash Collateral, (ii) Unencumbered Cash in an amount equal to the Settled Adequate Protection Claim of no less than $352 million and (iii) the Take Back Debt. For the avoidance of doubt, the Existing Letters of Credit will continue to remain outstanding, pursuant to and subject to the terms of the Existing L/C Escrow Agreement(s) and the New Letter of Credit Agreement. For purposes of treatment in Class 4, (i) Settled Claims comprising Term Loan Unsecured Claims will be Allowed in the aggregate principal amount of approximately $642,000,000 and (ii) Settled Claims comprising Revolver Unsecured Claims will be Allowed in the aggregate principal amount of approximately $777,000,000.”

The Disclosure Statement continues, “The Restructuring, including the U.K. Administration, will leave the Debtors’ business intact under Reorganized Paragon and will substantially de-lever it, providing for the reduction of approximately $2.3 billion of the Debtors’ debt and $58 million of the Debtors’ annual cash interest expense upon the completion of the Restructuring.”

Read more energy bankruptcy news.

The post Paragon Offshore Bankruptcy Plan Filed appeared first on Daily Bankrupt Company Updates | Bankrupt Company News.


Viewing all articles
Browse latest Browse all 4593

Latest Images

Trending Articles





Latest Images