Approach Resources announces $192.5 million stalking horse bid deal

By Caroline Salls

Pittsburgh, Feb. 5 – Approach Resources Inc. has entered into a stalking horse bid in connection with the proposed sale of substantially all of its assets, according to a notice filed Tuesday with the U.S. Bankruptcy Court for the Southern District of Texas.

Specifically, Alpine Energy Acquisitions, LLC has agreed to pay $192.5 million for the Approach assets, subject to the receipt of higher and better bids as part of a court-supervised auction process.

If Alpine Energy is not ultimately the winning bidder, Approach will pay it a $5.25 million break-up fee and reimburse up to $250,000 of its sale-related expenses.

Competing bids are due by 6 p.m. ET on Feb. 14.

An auction will be held on Feb. 26, if necessary. The sale hearing is scheduled for March 4.

If any objections are filed to the designation of Alpine as the stalking horse bidder or the proposed bid protections, a hearing will be held on Feb. 11 to allow the court to consider approval of the stalking horse agreement.

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

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