Latham Recognized for Bankruptcy and Restructuring Success

Latham was featured in Turnarounds & Workouts 2022 coverage highlighting the firm’s breadth of expertise advising on some of the largest and most complex cases from the past year. The Restructuring & Special Situations Practice – in collaboration across industry teams – delivered successful solutions for clients, including creditors and companies in financial distress.

The publication credited Latham in its Special Report on the Largest Bankruptcy Filings of 2021 for the below matters:

• Sundance Energy – Latham represented the US onshore producer of oil and natural gas in its emergence from the Chapter 11 process.
• Nine Point Energy – Latham advised the exploration and production company on the sale of its Williston Basin assets, one of the premier oil and gas basins in the United States; the purchase was effectuated through a Chapter 11 Section 363 process and was approved by the Bankruptcy Court.

Latham was also credited for representing distressed companies on matters selected as Successful Restructurings of 2021:

• Global Eagle Entertainment – Latham represented the global provider of entertainment, connectivity, and data analytics, and certain affiliates, in their Chapter 11 bankruptcy cases. Through its sale and restructuring, Global Eagle Entertainment’s total debt was reduced by US$487.5 million and its liquidity was increased with a US$217.5 million investment from the company’s new owners.
• Sable Permian Resources – Latham advised the independent oil and natural gas company in its Chapter 11 bankruptcy cases to address more than US$1.3 billion in funded debt obligations. To maximize value, Sable Permian Resources pursued a dual-track restructuring process where the company solicited and considered bids for restructuring transactions. A fully consensual Chapter 11 plan embodying that bid was confirmed, and they emerged from bankruptcy the following business day.
• Sundance Energy – Latham advised on the company’s Chapter 11 process, which involved a complete financial restructuring and the implementation of a prepackaged plan of reorganization. Sundance Energy emerged from Chapter 11 protection in a strengthened financial position eliminating more than US$250 million of funded debt obligations.
• Superior Energy Services – Latham advised the oilfield services provider and its affiliates on their comprehensive reorganization efforts and Chapter 11 cases, ushering the financial restructuring to completion in less than two months between filing and emergence, with total cash of approximately US$242 million. The financial recapitalization was implemented via a prepackaged Chapter 11 plan that deleveraged 100% of their long-term debt with a face amount of US$1.35 billion and related interest costs, provided access to additional financing, and established a capital structure to help Superior Energy Services thrive in a low-commodity-price environment.
• Great Western Petroleum – Latham advised the independent oil and natural gas company on its comprehensive recapitalization and secured notes offering of US$235 million aggregate principal to fund the redemption of all US$251.5 million of its outstanding senior notes. The out-of-court restructuring avoided a potentially contentious bankruptcy process and preserved millions of dollars in value.

The list included successful restructurings for which Latham played a key advising role:

• Avianca Holdings
• Belk
• Carlson Wagonlit Travel (CWT)
• Chukchansi Economic Development Authority
• Gulfport Energy
• Hertz Global Holdings

Turnarounds & Workouts’ annual list highlights the stories of corporate restructuring professionals who worked together to restructure businesses, continue business operations, save jobs, and pay creditors. The list featured matters led by multidisciplinary teams, with restructuring and bankruptcy expertise led by Global Chair of the Restructuring & Special Situations Practice, George Davis, and practice Vice Chairs, Jeff Bjork and Rick Levy, as well as US Restructuring & Special Situations Practice partners Ted Dillman, Adam Goldberg, David Hammerman, George Klidonas, Jim Ktsanes, Caroline Reckler, Keith Simon, Andy Sorkin, and Suzzanne Uhland, along with London partners Manoj Bhundia and James Chesterman.