Houston-based Nine Energy Services and eight of its affiliated businesses filed Sunday for Chapter 11 bankruptcy protection in the Southern District of Texas.
The oilfield services provider, which reported $340.7 million in assets and $436.6 million in liabilities in court documents, has hired Kirkland & Ellis and Kane Russell Coleman Logan as its lead legal advisors.
Nine Energy’s general counsel is former Vinson & Elkins corporate lawyer Theodore Moore, who previously served as chief risk officer for C&J Energy Services.
According to documents, Nine Energy is proposing a prepackaged restructuring plan that would eliminate more than $300 million in senior secured notes and states that it has received a commitment of $125 million in debtor-in-possession financing from an existing lender and that the same lender has agreed to provide an additional $135 million following the exit from bankruptcy.
In its bankruptcy petition, Nine Energy has chosen FTI Consulting as its financial advisor, Moelis & Company as the investment banker and KPMG as the tax advisor.
Some of the top creditors include Dallas-based GEO Dynamics ($1.78 million), Houston-based Tenaris Coiled Tubes ($1.65 million), Dallas-based Martin Marietta Materials ($1.58 million) and Dallas-based Global Tubing ($1.15 million).
The bankruptcy has been assigned to Houston Bankruptcy Judge Christoper Lopez.
The case is In re Nine Energy Services, SDTX, No. 26-90295.