Seadrill Restructuring Plan Confirmed

Category: Defining Matters
Date: April 19, 2018
Title: Seadrill Restructuring Plan Confirmed

On April 17, 2018, the U.S. Bankruptcy Court for the Southern District of Texas confirmed Seadrill Ltd.’s Chapter 11 restructuring plan. Seadrill is one of the world's largest offshore drilling companies. Kramer Levin is representing the Official Committee of Unsecured Creditors, consisting of Nordic Trustee AS, Computershare Trust Co., Daewoo Shipbuilding & Marine, Samsung Heavy Industries Co. Ltd., Pentagon Freight Services Inc. and Louisiana Machinery Co. LLC.

After an extensive investigation and negotiations, the Committee agreed to support a revised Plan under which unsecured creditors are receiving a 50 percent larger recovery than under the Debtor’s original Plan filed in September 2017. Unsecured creditors will receive cash, equity and the ability to participate in a Rights Offering for New Secured Notes and equity (with a cash-out option for those that are not eligible to participate in the Rights Offering).

The Kramer Levin team representing the Official Committee of Unsecured creditors includes Bankruptcy and Restructuring partners Thomas Moers Mayer and P. Bradley O’Neill, special counsel Jennifer R. Sharret, associates Joseph A. Shifer, Alexander J. Nicas, Alana Katz, Megan M. Wasson, Philip Michael Guffy, and law clerk Alexandra Troiano; Litigation partner Michael J. Dell; Corporate partners Abbe L. Dienstag, David S. Berg and Kenneth Chin, special counsel Susan Jacquemot, Marjorie E. Sheldon, Jason M. Moff, associate Elena Otero Keil, Sara Hung, Juliana Oliveira Maggio, Anna k. Ostrom, Timur Tusiray and Ross Peyser, and law clerk Benjamin Neuhaus.