FTI Consulting, Inc. announced that its Corporate Finance & Restructuring segment received the Turnaround Management Association’s Small Company Transaction of the Year Award for its role in the bankruptcy reorganization of energy project development company Juniper GTL LLC.
Juniper was constructing one of the first natural gas-to-liquid facilities in the Western Hemisphere when construction ceased due to the loss of a financial sponsor. The company retained FTI Consulting’s David Rush as Chief Restructuring Officer and Michael Bui as Interim Chief Financial Officer to lead the company through its restructuring and sale transaction process.
More than 150 parties were contacted in an effort to secure funds to complete the project on an out-of-court basis. However, by January 2016, Juniper had not secured an out-of-court investment, and by February 2016, the company was on the verge of a Chapter 7 liquidation. FTI Consulting assisted in negotiating a series of fully subordinated loans made to Juniper, which ultimately filed for Chapter 11 with a stalking horse purchaser in place.
The FTI Consulting team secured restructuring support agreements from numerous creditors, but was challenged when the stalking horse bidder backed out after the bankruptcy filing. The advisors then secured Juniper’s largest creditor and a private equity firm as a replacement bidder and completed the sales process without any delays in the bankruptcy case. The asset sale ultimately positioned the facility to reach full operation and provide the United States with a natural gas conversion technology, once complete.
“This project involved intricate commercial, financial, legal and operational considerations that required a timely solution, dependent upon many moving parts,” said Michael Eisenband, Global Co-Leader of the Corporate Finance & Restructuring segment at FTI Consulting. “Our experts handle some of the most complex global restructurings and transactions, and this award exemplifies their tireless work and dedication to our clients.”
FTI Consulting will be honored with other Turnaround and Transaction of the Year award winners at The 2017 TMA Annual on October 23 in Fort Worth, Texas. This award is the latest recognition for FTI Consulting’s work on the Juniper engagement. M&A Advisor named the matter the Energy Deal of the Year ($10 million to $100 million) at its Turnaround Awards in March 2017.