Approach Resources gets confirmation of Chapter 11 liquidation plan

By Sarah Lizee

Olympia, Wash., Dec. 16 – Approach Resources, Inc.’s Chapter 11 plan of liquidation was confirmed Wednesday by the U.S. Bankruptcy Court for the Southern District of Texas.

As previously reported, on Sept. 30 the debtors sold substantially all of their assets to Zarvona III-A, LP for $115.5 million.

The plan appoints a plan administrator to wind down the debtors’ limited remaining operations and distribute the remaining proceeds of the assets.

Holders of priority non-tax claims will receive cash payment in full.

Holders of pre-petition secured claims will receive, following payment of the debtor-in-possession facility claims in full, all available cash, up to an amount necessary to satisfy the pre-petition secured claims in full.

Holders of miscellaneous secured claims will receive payment in full in cash or the collateral securing their claims.

Holders of general unsecured creditor claims will receive their pro rata share of the first reserve following payment of all other claims and other amounts entitled to receive payment from the gift reserve under the plan, and, following the indefeasible payment in full of all pre-petition secured claims, all remaining available cash.

Interests and intercompany claims will be canceled with no distribution.

Approach Resources is a Fort Worth-based oil and gas company. The company filed bankruptcy on Nov. 18, 2019 under Chapter 11 case number 19-36444.

© 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.