Montco Offshore, Montco Oilfield Chapter 11 plans effective

By Caroline Salls

Pittsburgh, Feb. 12 – Montco Offshore, Inc.’s amended plan of reorganization and Montco Oilfield Contractors, LLC’s amended plan of liquidation took effect on Feb. 8, according to a notice filed Monday with the U.S. Bankruptcy Court for the Southern District of Texas.

The plans were confirmed on Jan. 18.

As previously reported, Seacor Liftboat Holdings submitted the winning bid to sponsor Montco Offshore’s reorganization plan.

Seacor and Montco have formed and capitalized a new joint venture company by contributing liftboat vessels and other related assets to the joint venture.

On the plan effective date, the reorganized company and the plan sponsor collectively received 100% of the common units of the joint venture.

The joint venture will make distributions of available cash to its members and will make tax distributions to its members.

Administrative claims, priority claims and debtor-in-possession facility claims will be paid in full in cash.

Holders of first-lien secured claims will be paid in full from exit facility proceeds.

Holders of general unsecured claims will receive a share of an annual free cash flow payment after payment of senior claims, as well as a share of liquidating event proceeds and liquidating trust assets under specific circumstances.

Equity interests in Montco Offshore will remain outstanding, and equity interests in Montco Oilfield will be cancelled.

Houston-based Montco operates lift boats for the offshore energy industry. The company filed for bankruptcy on March 17, 2017 under Chapter 11 case number 17-31646.

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