According to a corporate release, Vanguard Natural Resources has reached a settlement with the Company’s ad hoc equity committee.
Under the agreement, the equity committee agrees to (i) withdraw any and all objections to the Debtors’ Plan and (ii) fully support the Debtors’ Second Amended Joint Plan of Reorganization, as amended (“Modified Plan”). The Modified Plan will include the following amended terms, among others: The Modified Plan extends the expiration deadline for new warrants from three years to three and a half years for both preferred and common units of the Company. Holders of the Company’s common units will receive distributions of new warrants regardless of whether two-thirds of the common units vote as a class to accept the Company’s Modified Plan.
The definition of “Exculpated Parties” will be amended to add the ad hoc equity committee. The Modified Plan provides for the payment of up to $350,000 of reasonable and documented fees and expenses of the advisors to the ad hoc equity committee in addition to those previously agreed upon. In addition, all deposition notices and other discovery propounded by the equity committee against any other party are deemed immediately withdrawn and any scheduled depositions are cancelled.
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