Hercules Offshore, a Houston-headquartered offshore drilling contractor, has completed its financial restructuring and emerged from Chapter 11 of the U.S. Bankruptcy Code. Also, funding of the company’s new $450 million senior secured credit facility has been completed.
Hercules in August filed a pre-packaged plan of reorganization under Chapter 11 of the U.S. Bankruptcy Code to continue its financial restructuring of the company.
Chief Executive Officer and President of Hercules Offshore John T. Rynd announced on Friday a new chapter for the company: “Proactively restructuring our balance sheet early in the cycle generated significant benefits for Hercules including substantial debt reduction and added liquidity that will allow us to meet our capital commitments and support operations.”
He added that, with the new capital structure, the company is much better positioned to compete in the offshore drilling market.
“While we are excited to have this milestone behind us, the hard work of successfully turning around our Company is just beginning. To that end, we look forward to working with our new board of directors, and with the support of our new investor base, to execute on our strategic goals through the current industry downturn and thrive in the next upcycle,” Rynd said.