Each one in plain English, with the numbers worked through for a shareholder.
14 Sept 2016bankruptcy or receivership▼ BadMajor
The bankruptcy court confirmed SandRidge's Chapter 11 plan on September 9, 2016, resolving the case filed May 16, 2016. Existing common and preferred stock will get no recovery and will be cancelled when the plan takes effect, which the company was targeting within about 30 days without guarantees. Second-lien noteholders get new convertible notes and shares equal to 83.5% of the new stock, and unsecured creditors get cash, warrants and 16.5% of the new stock. A new board takes office, including James D. Bennett.
SandRidge filed for Chapter 11 bankruptcy under a pre-arranged restructuring plan that will convert about $3.7 billion of second-lien and unsecured debt into equity, backed by creditors holding the large majority of each debt tranche.
SandRidge drew down the remaining $488.9 million available under its credit facility and retained restructuring advisors Kirkland & Ellis and Houlihan Lokey, signaling it was preparing for a debt restructuring.
NYSE moved to delist SandRidge's stock after its price collapsed further, suspending trading; shares began trading over-the-counter under the symbol SDOC.
SandRidge issued an additional $78 million of its senior secured notes to an affiliate of EIG Global Energy Partners as partial consideration for acquiring Piñon Gathering Company, a midstream gathering system, from EIG.
SandRidge amended its credit facility to reaffirm its $500 million borrowing base through spring 2016 and gave itself more room to repurchase its own notes and monetize hedges.
8 Oct 2015capital raising announcement● NeutralMajor
SandRidge agreed to buy back and retire $100 million of its senior notes for $30 million in cash, and to exchange $300 million of senior notes for $269.4 million of 2022 and $30.6 million of 2023 convertible notes. Converting these would add about 109.1 million shares. Closing was expected on or shortly after October 15, 2015. This continues the August 2015 swaps, further cutting debt while adding potential dilution.
19 Aug 2015capital raising announcement● NeutralMajor
SandRidge issued $158.4 million of new 8.125% convertible notes due 2022 and $116.6 million of new 7.5% convertible notes due 2023, swapped for $15.9 million of 2020 notes, $40.7 million of 2021 notes, $101.8 million of 2022 notes and $116.6 million of 2023 notes. If fully converted they would become about 100 million shares at an initial $2.75 per share. This continues the debt-for-equity swaps begun in May 2015 and creates potential future dilution. The company also agreed with its bank lenders to amend the credit agreement to allow up to $200 million of cash note purchases; the rest of that amendment was cut off in the text provided.
SandRidge fell out of NYSE compliance after its stock price sank below the $1.00 minimum average closing-price requirement, and said it was considering a reverse stock split to cure the deficiency.
SandRidge closed its $1.25 billion senior secured notes offering and simultaneously activated a new $500 million first-lien revolving credit facility, completing its refinancing.
SandRidge priced an upsized $1.25 billion offering of 8.75% senior secured notes due 2020 to repay its revolving credit facility as oil prices weakened.
14 May 2015capital raising announcement● NeutralMajor
SandRidge agreed to swap $29 million of its 2021 notes and $21 million of its 2022 notes with one noteholder for new common shares: 16,046,666 shares plus 257,778 for accrued interest on the 2021 notes, and 11,620,000 shares plus 107,431 for accrued interest on the 2022 notes. Closing was expected May 19, 2015. This cuts $50 million of debt but adds roughly 28 million shares, diluting existing shareholders.
Lenders amended SandRidge's credit agreement to give it more time to file its delayed third-quarter financials and waived any default triggered by the CO2 penalty accounting issue disclosed weeks earlier.
SandRidge disclosed that penalty fees owed to Occidental Petroleum under a 30-year CO2 delivery agreement may have been accrued in the wrong accounting periods, warning that prior financial statements might need to be restated.
28 Feb 2014asset acquisition disposition▲ GoodMajor
SandRidge closed the sale of its Gulf of Mexico business to Fieldwood Energy, completing a run of divestitures and debt paydowns - alongside the earlier Permian Basin sale and a senior notes redemption - that left the company purely focused on the Mid-Continent.
SandRidge agreed to sell its entire Gulf of Mexico oil and gas business to Fieldwood Energy for $750 million cash plus assumption of $370 million in abandonment liabilities, refocusing the company entirely on its Mid-Continent Oklahoma assets.
