Benzinga | Sep 21, 2020 05:16PM EDT

FTS Int'l. Reports Amended, Restated Restructuring Support Deal With Creditors

FTS International, Inc. (NYSE:FTSI) ("FTSI" or the "Company") today announced that it has entered into a second amended and restated restructuring support agreement (the "RSA") with creditors holding approximately 87.55% of the principal amount outstanding of the company's secured debt (collectively, the "Consenting Creditors") and intends to file voluntary cases under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas on September 22, 2020 (the "Court").

To implement the restructuring set forth in the RSA, the Company commenced solicitation of votes on the Company's prepackaged chapter 11 plan of reorganization (the "Plan") from the holders of the Company's 6.250% senior secured notes due 2022 (the "Secured Notes") and the Company's term loan facility (the "Term Loan"). The Company intends to commence solicitation of votes from the Company's existing equity interests following a "first-day" hearing before the Court, expected to be held on or about September 24, 2020.

The Company will continue to operate in the ordinary course of business during the restructuring, supported by the Consenting Creditors' agreement to allow the Company to use existing cash to fund the chapter 11 cases. As of close of business on September 18, 2020, the Company's cash balance was $161 million. The Company intends to file a number of customary motions in the chapter 11 cases, including motions to allow the Company to continue to pay employee wages and benefits and make payments to its suppliers and other business partners.

The Plan and related disclosure statement are available at https://dm.epiq11.com/FTSI. Upon the chapter 11 filing, more information about the Company's restructuring, including access to all documents filed with the Court, will be available at https://dm.epiq11.com/FTSI. For further information regarding the restructuring, please contact the Company's solicitation agent, Epiq, at (888) 490-0882 (toll free) or (503) 597-5602 (international), or email them at FTSInternational@epiqglobal.com.

Kirkland & Ellis LLP and Winston & Strawn LLP are acting as legal counsel, Lazard Fr?res & Co., LLC is acting as financial advisor, and Alvarez & Marsal LLP is acting as restructuring advisor to the Company in connection with the restructuring.