Independence Contract Drilling Inc (ICD) News & EventsICDIndependence Contract Drilling Inc

Independence Contract Drilling commences Chapter 11 process

Independence Contract Drilling announced that it has entered into a plan of reorganization unanimously supported by all of the holders of the company's Senior Secured PIK Toggle Notes Due 2026. The company said the plan is expected to substantially reduce ICD's debt and provide increased financial flexibility, accelerate investments in the company's super-spec rig fleet, and position the company for long-term success. Under the terms of the plan, almost all of the Senior Secured Convertible Notes, including accrued interest, will be equitized, and all other secured and unsecured creditors will be paid in the ordinary course without impairment. On December 2, ICD commenced a prepackaged Chapter 11 process to implement the plan in the United States Bankruptcy Court for the Southern District of Texas, Houston Division. The plan includes the following: a debtor-in-possession financing facility provided by the Noteholders consisting of up to $32.5M to support the company's ongoing operations and obligations and repay outstanding revolving credit obligations, vendors and employees; the noteholders' commitment to provide exit financing of $40M to refinance outstanding DIP financing obligations and $7.5M of noteholder claims, and support ICD's future operations and investments in its super-spec rig fleet; the exchange of all remaining Noteholder claims for equity securities of the reorganized company, which will not be listed for public trading and the cancellation of the company's common stock. In connection with the implementation of the plan, the company filed other various "first day" motions with the court, requesting customary relief that, once approved by the court, will further facilitate the company operating its businesses during the streamlined case and facilitate the payment of all vendors and employees in the ordinary course of business, including undisputed claims on both a pre-petition and post-petition basis.

NYSE to commence delisting proceedings against Independence Contract Drilling

The New York Stock Exchange announced that the staff of NYSE Regulation has determined to commence proceedings to delist the common stock of Independence Contract Drilling - ticker symbol ICD - from the NYSE. Trading in the company's common stock will be suspended immediately. "NYSE Regulation reached its decision to delist the Company's common stock pursuant to Section 802.01B of the NYSE's Listed Company Manual because the Company had fallen below the NYSE's continued listing standard requiring listed companies to maintain an average global market capitalization over a consecutive 30 trading day period of at least $15,000,000. The Company has a right to a review of this determination by a Committee of the Board of Directors of the Exchange. The NYSE will apply to the Securities and Exchange Commission to delist the common stock upon completion of all applicable procedures, including any appeal by the Company of the NYSE Regulation staff's decision," the NYSE stated.