⛽️ New Chapter 11 Bankruptcy Filing - Permian Holdco 1 Inc.

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Permian Holdco 1 Inc.

July 19, 2020

Permian Holdco 1 Inc. and three affiliates (the “debtors”) filed chapter 11 bankruptcy cases in the District of Delaware. We know. It’s shocking. How in hell could a manufacturer of above-ground wellsite fluid containment and processing systems for oil and gas E&P companies be in trouble?!? The debtors’ pre-pretition lender will serve as DIP lender ($5mm) and stalking horse purchaser, credit bidding the DIP and prepetition credit facility amount ($28.6mm) as appropriate/necessary. Riveting stuff.

  • Jurisdiction: D. of DE (Judge Walrath)

  • Capital Structure: $28.6mm RCF & TL (New Mountain), $19.435mm unsecured promissory notes

  • Professionals:

    • Legal: Young Conaway Stargatt & Taylor LLP (M. Blake Cleary, Robert Poppiti Jr., Joseph Mulvihill, Jordan Sazant)

    • Financial Advisor/CRO: CM Advisory LLC (Chris Maier)

    • Investment Banker: Seaport Gordian Energy LLC

    • Claims Agent: Epiq Corporate Restructuring LLC (*click on the link above for free docket access)

  • Other Parties in Interest:

⛽️New Chapter 11 Bankruptcy Filing - Yuma Energy Inc.⛽️

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Yuma Energy Inc.

April 15, 2020

Houston-based Yuma Energy Inc. and three affiliates, oil and gas producers focused on the Rocky Mountain, Mid-Continent, Gulf Coast and West Texas regions of the US, filed chapter 11 cases in the Northern District of Texas.

There ain’t much new here worth noting given that every oil and gas company is troubled and they all sing the same tune about commodity prices post-2015. But there was one striking admission in Yuma’s bankruptcy papers that is nearly as pervasive as commodity price effects. In the company’s own words, “…the decline in the financial health of the company stemmed not only from dropping commodity prices, but more importantly with a continuing high level of G&A for a company it’s [sic] size….” That’s right: bloated G&A. It’s as prevalent in Texas as oil itself.

This case is a liquidation.

  • Jurisdiction: N.D. of Texas (Judge Mullin)

  • Professionals:

    • Legal: FisherBroyles LLP (H. Joseph Acosta, Lisa Powell)

    • Financial Advisor: Ankura Consulting Group (Anthony Schnur)

    • Investment Banker: Seaport Gordian Energy LLC

    • Claims Agent: Stretto (*click on the link above for free docket access)

  • Other Parties in Interest: