Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers G > Headlines for Gulfport Energy Corp. > News item |
Gulfport Energy statement draws objection from unsecured creditors
By Sarah Lizee
Olympia, Wash., Feb. 17 – Gulfport Energy Corp.’s disclosure statement drew an objection from the official committee of unsecured creditors, according to a notice filed Tuesday with the U.S. Bankruptcy Court for the Southern District of Texas.
“The debtors’ disclosure statement contains glaring deficiencies and misleading statements regarding the proposed treatment for unsecured creditors under the [restructuring support agreement] plan,” the committee said.
“Rather than inform unsecured creditors of the parent debtor, in straightforward terms, that their recoveries will be but a tiny fraction of those of subsidiary unsecured creditors, the disclosure statement obfuscates, implying that all unsecured creditors will share in a common pool.
“And, having obscured the unfortunate truth that unsecured creditors of the parent will receive de minimis recoveries, the disclosure statement then fails to clearly describe the supposed rationale for such disparate treatment.”
The committee said the deficiencies are “just the latest example” of the debtors’ unwillingness or inability to provide stakeholders with information necessary to make informed judgments.
A hearing on approval of the disclosure statement is scheduled for Feb. 19.
Gulfport is a natural gas and oil company based in Oklahoma City. The company filed Chapter 11 bankruptcy on Nov. 13 under case number 20-35562.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.