Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers H > Headlines for Hercules Offshore Inc. > News item |
Hercules Offshore rises on restructuring news; Peabody continues to gain, Alpha in retreat
By Stephanie N. Rotondo
Phoenix, June 18 – The distressed debt market ended firmer again on Thursday and Hercules Offshore Inc. was following that trend.
The gains in the name came as the market digested news of a restructuring agreement announced late Wednesday.
In a news release published after the market closed Wednesday, the Houston-based offshore drilling services provider said it had reached a deal with a group of its senior noteholders that would convert about $1.2 billion of debt into 96.9% of new common stock in the reorganized company.
Said creditors also agreed to backstop $450 million of new debt.
The restructuring agreement will be implemented via a pre-packaged bankruptcy, which should come within the next few weeks.
Elsewhere in the oil and gas arena, bonds were weaker despite a gain in oil prices.
West Texas Intermediate crude improved 61 cents, or 1.02%, to $60.53, as the dollar weakened.
Peabody Energy Corp. continued to be busy and better, as they have been for most of the week.
However, sector peer Alpha Natural Resources Inc. was not as lucky.
© 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.