Advertisement

Memorial Production Partners Bankruptcy Plan Filed, Confirmed

Advertisement

Memorial Production Partners filed with the U.S. Bankruptcy Court a Second Amended Joint Plan of Reorganization, which notes, “In accordance with Section 5.1(a) hereof and in furtherance of the global resolution settlement embodied in this Plan: (i) the Debtors shall promptly reimburse the fees and expenses of Jeffrey L. Olyan in the stipulated amount of $350,000; (ii) Mr. Olyan will be included as a ‘Released Party’ and has changed his vote on this Plan to accept this Plan, thereby making him a ‘Releasing Party’; and (iii) on or as soon as practicable after the Effective Date: (A) the KEIP/KERP Recipients shall collectively pay Cash in an aggregate amount equal to $1,500,000 to the Debtors, of which the Equity Settlement Cash shall be distributed to Memorial Limited Partners and the remaining$250,000 shall be retained by the Reorganized Debtors; (B) the terms of the Management Incentive Plan set forth in Annex 4 to each of the Restructuring Term Sheets shall be amended in accordance with Section 5.9; and (C) the strike price of the management options granted on the Effective Date under the Management Incentive Plan shall be at a price that reflects a total enterprise value of the Debtors on the Effective Date of $1,000,000,000.”

The Court subsequently issued an order confirming the Plan. This oil and gas production company filed for Chapter 11 protection on January 16, 2017, listing $2.9 billion in pre-petition assets.

Read more energy bankruptcy news.