During the restructuring process, the company plans to do global business as usual. The corporate has filed popular motions that will allow it to collect salaries and benefits from employees, comply with supplier agreements, and pay expenses. The corporate will continue to be run through the existing control team.
“After several months of in-depth image on how productive it is to manage the uncertainty of the global economy due to the coronavirus pandemic, as well as declining oil demand, our debt levels and the demanding situations related to the monetization of Alaska’s tax credits, THE Board of Directors and SAE control , together with our advisors, concluded that the most productive path for SAE and its stakeholders is to seek the protection of Chapter 11.” said Mike Faust, SAE’s chief executive. “Our industry has been greatly affected. However, the good news is that we plan to work transparently in restructuring, withhold workers, and pay our expenses. Our control team will have to stay in place. Once we leave Chapter 11, we hope to be well placed for expansion and continue to fulfill the wishes of our customers. »
The proposed reorganization plan (the “plan”) would mean approximately $74 million of net debt from the company’s balance sheet. The plan envisages (i) the completion of a new first-time exit line of a total capital amount of $15 million with lenders under the existing line of credit, senior line of credit and convertible promissory notes, (ii) refinancing the existing line of credit with a new second privilege exit facility of a total capital amount of $20.5 million with existing Array lenders and (iii) the elimination of $89.0 million of capital plus accrued interest on the existing senior credit line and convertible promissory notes, in exchange for new shares to be issued through the reorganized company, subject to dilution through (x) new non-unusual shares to be issued to lenders under the new first-privilege exit facility that will constitute 95% of the new non-unusual notable shares to be issued through the CorporateArray reorganization and (and) new unusual non-unusual stocks that will be issued through the CorporateArray reorganization and (and) new unusual non-unusual stocks that will be issued to the components that support the new first-privilege exit facility that will constitute 2.5% of the new remarkab It is not uncommon for shares to be issued through the company. New non-unusual shares to be issued through the reorganized company will be subject to additional dilution through new non-unusual actions to be issued through the reorganized company as a component of a control incentive plan.
Additional information, the addition of court filings and other documents similar to the reorganization process can be obtained on an online page managed through the company’s claims agent, Epiq Corporate Restructuring, LLC, at https://dm.epiq11.com/SAExploration.
A more detailed restructuring can be found in the RSA, Plan and Disclosure Statement, which is included with Form 8-K for registration with the Securities and Exchange Commission.
Porter Hedges LLP acts as a legal tip and Imperial Capital, LLC acts as the company’s monetary advisor as a component of its restructuring efforts.
About SAExploration Holdings, Inc. SAE is a foreign oil facilities company that offers a full range of logistics support facilities, processing and interpretation of vertically incorporated seismic knowledge in North America, South America, Asia-Pacific, Africa and the Middle East. In addition to the acquisition of 2D, 3D, 4D and multi-component seismic knowledge on land, in transition spaces and at sea at depths of up to 3000 meters, SAE provides a complete diversity of knowledge processing and interpretation facilities using its patented patent. -Protected software, and also provides internal logistics support facilities such as program design, plan and licensing, camp facilities and infrastructure, surveying, drilling, environmental evaluation and rehabilitation, and network relations. SAE manages groups around the world, wearing down primary projects for its world-class clients, which come with giant built-in oil corporations, national oil corporations, and independent giant oil and fuel exploration corporations. Headquartered in Houston, Texas, SAE supports its operations through a multinational presence in the United States, United Kingdom, Canada, Peru, Colombia, Bolivia, Malaysia and Singapore. For more information, visit the CAS online page at www.saexploration.com.
Forward Statements With the exception of statements of old facts, the topics discussed here are “forward-looking statements” within the meaning of applicable U.S. federal securities laws. The words “possibly,” “imaginable,” “estimate,” “expect,” “believe,” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements include those identifying words. Forward-looking statements, the addition of statements relating to the imaginable have an effect on the problems summarized in this press release, possibly or would not be made, and the differences between the estimated and actually learned effects would possibly be significant. Factors that may also cause actual effects to differ materially from those of forward-looking statements include, but are not limited to, hazards similar to known and unknown uncertainties, adding:
projected into its order book;
Each of these risks, as well as the known and unknown consequences of these risks, can also have a significant negative effect on CAS, its activities and perspectives. As of the date of this press release, SAE may not provide any guarantee that these risks will have an effect or final results. Forward-looking statements reflect SAE’s perspectives to date here. SAE makes no commitment to review these statements to reflect long-term developments, unless in accordance with U.S. federal securities law. And SAE’s determination that such revised disclosure is mandatory or desirable to do so.
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