Debtor filed Chapter 11 after a hurricane damaged its offshore equipment in the Gulf of Mexico and impaired its production capabilities.
Almost four months after the Chapter 11 filing, no tangible process had been made toward a feasible plan of reorganization.
Greg Milligan was appointed as Chief Restructuring Officer, with the support of several key stakeholders, to guide the company to a successful exit from bankruptcy.
Less than two weeks after his appointment as CRO, Milligan was able to finalize and file a Plan and Disclosure Statement that had been previously draft by the company’s counsel.
Seventy-five (75) days after appointment as CRO, a plan was confirmed that converted certain bridge loans to equity and infused a like amount of money into the reorganized debtor to provide the necessary liquidity.
This conversion of debt to equity and cash infusion from an international capital partner gave that party a controlling stake in the company.
The confirmed plan allowed the company to exit bankruptcy with full payment to all creditors, and all necessary regulatory approvals, and sufficient liquidity to return to pre-storm production levels.