💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Seadrill files for Chapter 11 bankruptcy

Published 09/12/2017, 08:35 PM
Updated 09/12/2017, 08:40 PM
© Reuters.  Seadrill files for Chapter 11 bankruptcy
SDRL
-

(Reuters) - Offshore drilling services provider Seadrill Ltd (OL:SDRL) said on Tuesday it had filed for Chapter 11 bankruptcy and entered into a restructuring agreement with bank lenders, bondholders and a consortium of investors.

The company said in a statement the agreement delivered $1.06 billion of new capital, comprising $860 million of secured notes and $200 million of equity, and addressed Seadrill's liabilities, including funded debt and other obligations.

Seadrill said it had over $1 billion in cash at the time of the court filing in the Southern District of Texas and it did not require any debtor-in-possession financing.

As part of the Chapter 11 filing, the company sought "first day" motions that, when granted, would enable day-to-day operations to continue as usual.

Seadrill said it had ring-fenced its non-consolidated affiliates including Seadrill Partners Llc, Seamex Ltd, Archer Ltd and their respective subsidiaries from the company's restructuring. These non-consolidated affiliates did not file Chapter 11 cases.

Houlihan Lokey Inc served as Seadrill's financial advisor while Alvarez & Marsal served as its restructuring advisor.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.