On May 17, Tidewater Inc. (NYSE: TDW) filed for a Chapter 11 bankruptcy and has finally emerged from it today wiping out $1.6 billion in debt and $73 million in annual interest and operating lease expenses.
The company arranged a prepackaged plan where lenders and senior note holders were to receive 95% of stock as well as rights to purchase company issued shares. Lenders are to split up $225 million in cash and $350 million in new 8% fixed rate secured notes.
Tidewater’s new common stock is now listed on the New York Stock Exchange under the same ticker symbol, TDW. Beginning on August 1, traders can trade in the new common stock. Series A warrants and Series B warrants have also been approved for listing and the company intends to seek the listing of the equity warrants after shares of the new common stock is to be traded for a reasonable period of time to allow for trading prices and volume to stabilize.
In the past, Tidewater has been harshly hit by a global slowdown in oil drilling activity and a slump in prices. Oil prices have dropped to around $50 per barrel on Monday. The company’s stock also slid almost $55 per share in 2004 to less than a dollar.