Tidewater looking to expand fleet post-reorganization

Tidewater, one of the world’s largest offshore vessel owners, has had its reorganization plan, which would eliminate $1.6 billion in debt, confirmed by the court.

 According to Tidewater, the United States Bankruptcy Court for the District of Delaware has confirmed the company’s reorganization plan announced in May (https://bit.ly/2q99UnA), that, among other things, included Tidewater and some of its subsidiaries filing for Chapter 11 bankruptcy.

The U.S. company on Thursday said it expected the Judge Brendan L. Shannon would enter a written confirmation order „within the next few business days.“

 “We are very pleased that the court has confirmed our Plan within a relatively short time frame,” said Jeffrey M. Platt, Tidewater’s President and Chief Executive Officer.

“The substantial deleveraging of our balance sheet through the recapitalization contemplated by the Plan, as well as our strong liquidity position, should reassure our customer and vendor base of our ongoing ability to perform our contracts and meet our obligations while we weather the continuing headwinds in the offshore energy industry.

Tidewater in May said the prepackaged plan had the support of the company’s lenders holding 60% of the outstanding principal amount of loans under the credit agreement and holders of 99% of the aggregate outstanding principal amount of Tidewater’s Senior Notes. Tidewater then said it expected that it would eliminate approximately $1.6 billion in principal of outstanding debt.

Targeted acquisitions

Tidewater, which has a fleet of more than 300 vessels, will be looking to expand the fleet when it emerges from bankruptcy.

Platt said: „Additionally, this restructuring will position us to consider possible targeted acquisition opportunities in an industry where consolidation is to be expected. We are working hard to complete the remaining steps necessary to emerge from bankruptcy by the end of this month. Tidewater is thankful for the continued support of our many stakeholders, including our lenders, noteholders, stockholders, employees, customers, vendors and trade creditors.

„Their support has been integral to the successful outcome of the chapter 11 process, and we look forward to emerging in the coming weeks as a strong, well-capitalized company, poised to continue providing our customers with the same safe, compliant and efficient services which have been the hallmark of our company throughout our history.”

Offshore Energy Today Staff