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Global Geophysical Exits Chapter 11, Obtains Exit Financing

Date: Feb 11, 2015 @ 07:23 AM
Filed Under: Energy Services

Global Geophysical Services, Inc. announced it has successfully completed its balance sheet restructuring and emerged from bankruptcy, following confirmation of Global's Second Amended Joint Chapter 11 Plan of Reorganization by the U.S. Bankruptcy Court for the Southern District of Texas, Corpus Christi Division, on February 6, 2015.

"Our emergence from Chapter 11 marks the start of a new chapter for our company," said Richard White, Global Chief Executive Officer. "Through this process we have reduced our funded debt by approximately $250 million and strengthened our capital structure. Our new financial profile provides a solid financial foundation to sustainably operate and grow the business. Global is moving forward as a company that is well positioned to execute on our strategic plan across all four of our service and product lines."

The exit financing included first lien financing of $85 million, including a $25 million revolving line of credit, and approximately $32 million in second lien financing provided by a group of Global's debtor-in-possession lenders. "Our emergence would not have been possible without the support of our lenders, whose willingness to invest in our company demonstrates their confidence in Global's prospects for long-term growth and value creation. We also appreciate the dedication of our employees, who continued to serve our customers without interruption throughout this process. Finally, we thank our customers along with our affiliates, vendors and other stakeholders for their loyalty. We believe Global is poised for renewed success and we are excited about the opportunities ahead,"  White concluded. 

Rothschild Inc. served as financial advisor and investment banker and Alvarez & Marsal North America, LLC served as restructuring advisor to Global. Baker Botts L.L.P. served as Global's restructuring counsel. Willkie Farr & Gallagher served as counsel to the exit lender, Morgan Stanley Senior Funding.

Global provides an integrated suite of Geoscience solutions to the global oil and gas industry including high-resolution RG-3D Reservoir GradeSM seismic data acquisition, multi client data library products, seismic and microseismic monitoring, processing, reservoir characterization and data analysis, interpretation services, and Autoseis® autonomous recording equipment.

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