Bristow Group has announced that, as part of its previously-filed Chapter 11 cases in the US Bankruptcy Court for the Southern District of Texas, it will enter into an amended and restated restructuring support agreement (amended RSA) with certain of the company's secured and unsecured noteholders, who have committed, as part of the transaction, to fund a new debtor-in-possession (DIP) facility. This broad and consensual financing package will help to de-lever the company's balance sheet and fund its global operations and continued investments in safety and reliability through the reorganisation process.
L. Don Miller, president and chief executive officer, says: “We have successfully brought together holders of both our secured notes and our unsecured notes to achieve a meaningful milestone in our reorganisation, and one that positions Bristow for a timely emergence from Chapter 11. Upon completion of this recapitalisation, we will have a much stronger balance sheet with significantly lower debt levels and improved liquidity, which will enable us to continue to fund operations through the reorganisation process and position Bristow to be an even better business partner, employer and trusted service provider in the future. This will continue to be a seamless transition for our clients, as we continue to operate as usual throughout our global organisation, and remain steadfast in our commitment to delivering safe, reliable and professional service."
The terms of the amended RSA among Bristow, a group of holders representing approximately 89.84 per cent of Bristow's 8.75 per cent senior secured notes due 2023 and a group of holders representing approximately 54.54 per cent of Bristow's 6.25 per cent senior notes due 2022 and 4.50 per cent convertible senior notes due 2023 combined (together, the unsecured notes) are contained in an exhibit to the amended RSA (the restructuring term sheet).
Certain holders of the secured notes and the unsecured notes will commit to backstop $40 million and $360 million, respectively, of a total $400 million new money rights offering to purchase new equity interests (reorganised equity) in the reorganised company, subject to the negotiation and execution of a definitive backstop commitment agreement;
The amended and restated RSA and the new DIP facility are subject to approval by the Bankruptcy Court, which has not yet been obtained.