Parker Drilling granted final approval of $50 million DIP facility

By Caroline Salls

Pittsburgh, Jan. 4 – Parker Drilling Co. obtained final court approval to access $50 million in debtor-in-possession financing from Bank of America, NA and Deutsche Bank AG New York Branch, according to an order filed Thursday with the U.S. Bankruptcy Court for the Southern District of Texas.

Bank of America is the DIP financing agent.

Interest will accrue at the Base rate plus 300 basis points or the Eurodollar rate plus 400 bps.

The facility will mature four months from the company’s bankruptcy filing date, subject to a two-month extension.

The DIP financing lenders have also committed to fund an exit facility of $50 million, which may be increased following emergence.

Parker Drilling is a Houston-based provider of drilling services and rental tools to the energy industry. The company filed bankruptcy on Dec. 12 under Chapter 11 case number 18-36958.

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