Transmeridian plan takes effect, Caspi Neft share sale closes

By Caroline Salls

Pittsburgh, Dec. 3 - Transmeridian Exploration Inc.'s plan of liquidation took effect on Oct. 30, according to a Thursday filing with the U.S. Bankruptcy Court for the Southern District of Texas.

As previously reported, the plan is based on the company's $35 million sale of its shares in Caspi Neft to debtor-in-possession facility lender Ufex, which also closed on Oct. 30.

Treatment of creditors under the plan will include:

• Holders of an estimated $650,000 in administrative claims, $29,000 in priority tax claims and $48,300 in other priority claims will be paid in full in cash;

• Holders of senior secured notes claims will receive new notes and cash equal to the amount of the DIP financing claim;

• Holders of other secured claims will be paid in full either in cash or a note secured by their collateral or through the return of the collateral securing their claims;

• Holders of $3.7 million to $12.7 million in general unsecured claims will receive a share of available cash and will also receive a share of any subsequent cash distributions; and

• Holders of equity interests will receive no distribution.

Transmeridian, a Houston-based independent energy company, filed for bankruptcy on March 20, 2009. Its Chapter 11 case number is 09-31859.

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