Halcón Williston I, LLC offers oil and gas exploration and production services. The company is based in Austin, Texas. Halcón Williston I, LLC operates as a subsidiary of Halcón Energy Properties, Inc.
800 Brazos Street
Austin, TX 78701-2548
First Amended Reorganization Plan Approved for Halcón Resources Corporation
Sep 8 16
The US Bankruptcy Court approved the first amended plan of reorganization of Halcon Resources Corporation on September 8, 2016. The debtor has filed its first amended plan in the Court on September 2, 2016. As per the amended plan, administrative claims of $86.1 million, priority tax claims of $15.5 million, professional fee claims and US Trustee fees will be paid in full in cash. Revolving credit facility claims of $450 million will be issued amended revolving credit facility. Second lien note claims of $824.4 million will be paid through issuance of new equity. Third lien note claims of $1.05 billion will be paid in combination of cash, debt and equity. Unsecured note claims of $662.07 million will have an estimated recovery of 21% and paid in combination of equity and cash. Convertible note claims of $297 million will have an estimated recovery of 14% and paid in combination of equity and cash. General unsecured claims will be reinstated. Intercompany claims will be reinstated and section 510(b) claims will be cancelled. Intercompany claims will be reinstated. Preferred stock interests will be paid in cash. Existing equity will be cancelled and paid in cash, if any available. The plan will be funded from cash in hand, new equity issuance and re-financing of amended revolving credit facility.
First Amended Reorganization Plan Filed by Halcón Resources Corporation
Sep 2 16
Halcon Resources Corporation, along with its affiliates, filed amended plan of reorganization in the US Bankruptcy Court on September 2, 2016. As per the plan filed, Unsecured Notes Claims of $662.07 million will receive $37.6 million in cash and 15.5% of the debtor’s new equity. There were no changes in the treatment of other claim classes.
Final DIP Financing Approved for Halcón Resources Corporation
Aug 19 16
The US Bankruptcy Court gave an order to Halcon Resources Corporation to obtain DIP financing on final basis on August 19, 2016. As per the order, the debtor has been authorized to obtain a reserve-based revolving facility in the amount of $600 million from a group of lenders with JPMorgan Chase Bank, N.A. acting as the administrative agent and collateral agent. The DIP will include a prepetition roll-up facility as well which would convert into a senior secured exit reserve-based credit facility. The lenders include JPMorgan Chase Bank, N.A., Wells Fargo Bank, N.A, Barclays Bank plc, BMO Harris Financing, Inc., Bank of America, N.A., Capital One, National Association, Natixis, Royal Bank of Canada, SunTrust Bank, BNP Paribas, ING Capital LLC, Goldman Sachs Bank USA, Credit Suisse AG, Cayman Islands Branch and Comerica Bank. JPMorgan and Wells Fargo Bank acted as joint lead arrangers. The applicable margin on loan varies according to commitment utilization percentage. If commitment utilization percentage is > 90%, the DIP loan would either carry an interest rate of LIBOR plus 3.75% p.a., or an alternate base rate plus 2.75% p.a., along with an additional 2% p.a. interest in the event of default. As per the terms of the DIP agreement, the loan carries a commitment fee of 0.50% p.a. and Letter of Credit fees of 0.15% per annum on the average daily amount of the LC Exposure. The DIP facility would mature either on the date that is 3 months following the petition date; provided that such date may be extended in three-month increments at the request of the borrower in its sole discretion, but in no event beyond the date that is 12 months after the petition date and the effective date of the plan, whichever is earlier. Adequate protection would be provided to the DIP lenders in the form of super-priority administrative expense claims which is subject to a carve-out of $5 million towards unpaid professional fees / administrative expenses and first priority lien upon and security interest in the debtor’s collateral. Elisha D. Graff and Nicholas Baker of Simpson Thatcher & Bartlett LLP; and Jeff Schlerf of Fox Rothschild LLP acted as counsel to JPMorgan.