Denver’s Whiting Petroleum Corporation comes out of its Chapter 11 bankruptcy reorganization with a new $750 million borrowing base.
The company announced it successfully completed its financial restructuring and emerged from Chapter 11 protection. It completed all required actions and satisfied the remaining conditions of its reorganization plan.
“We are excited to begin our new chapter at Whiting, with a focus on capital discipline and free cash flow generation to create long-term value for our shareholders,” said Lynn Peterson, Chief Executive Officer of Whiting.
Whiting’s new capital structure includes a new $750 million reserve based revolving credit facility maturing in April 2024. Whiting’s unsecured claims, including holders of Whiting’s senior unsecured notes, received their proportionate distribution of 97% of Whiting’s newly issued common stock.
The conditions include nearly $13 million net of near-term working capital payments; 38.1 million shares of common stock outstanding with 500 million shares authorized at emergency; and current shareholders receive 1 share of reorganized Whiting’s new common stock for approximately every 75 shares previously owned.
Source: BusinessWire
