Seadrill’s reorganization plan gets full support from creditors

John Fredriksen’s offshore drilling company Seadrill has obtained full support from its creditors and shareholders for the reorganization plan aimed at reducing the driller’s massive debt.

Seadrill Limited and its 85 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code on September 12, 2017.

Meanwhile, Seadrill continued all normal day-to-day operations and continued serving customers without interruption. The court gave the company authority to continue to pay employee wages and benefits without interruption, continue to utilize its cash management system and continue to pay all suppliers and vendors in full under normal terms.

On Monday, April 9 the company announced the voting results for its Chapter 11 plan of reorganization filed with the U.S. Bankruptcy Court for the Southern District of Texas. The near unanimous support from the voting ballots reflects the overwhelming support for the company’s plan and reorganization efforts, Seadrill said on Monday.

Of the 530 ballots cast by creditors voting on the plan, 529 or 99.8% of all voting creditors aggregated across all creditors classes, excluding ballots cast by holders of interests, voted to accept the plan.

Shareholders voted approximately 29,000,000 shares in the company, with 24,983,115 or 86% of shares voted to accept the plan. The company noted that the plan received approval from every single class of creditors and holders of interests entitled to vote, far exceeding the required thresholds.

The voting results demonstrate the broad-based support by creditors and shareholders of the company’s reorganization transaction, which provides more than $1.08 billion of new capital, defers all secured credit facilities’ maturities by approximately five years, and provides significant covenant relief.

A confirmation hearing on the plan is scheduled to begin on April 17, 2018.

Share this article

Follow Offshore Energy Today

Posted on April 9, 2018 with tags .

Events>

<< May 2019 >>
MTWTFSS
29 30 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 31 1 2

Uganda International Oil and Gas Summit 2019

Uganda International Oil & Gas Summit will once again examine the industry’s developments…

read more >

8th OIL & GAS AFRICA 2019 CONFERENCE

OIL & GAS AFRICA is one of the most prime regional & international Oil and Gas conferences in East Africa…

read more >

Gas Indonesia Summit 2019

Gas Indonesia Summit & Exhibition is returning for the fourth edition in Jakarta…

read more >

Shanghai Int Petrochemical and Offshore Oil & Gas and Chemical Industry Technology and Equipment Exhibition 2019

cippe Shanghai has attracts both…

read more >

Jobs>

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply