C&J Energy Services Ltd. filed for chapter 11 protection yesterday with an agreement with its lenders to swap $1.4 billion in debt for ownership of the reorganized company, Reuters reported. Hamilton, Bermuda-based C&J drills wells and provides related services, and the filing comes four months after founder and Chief Executive Officer Josh Comstock died unexpectedly at age 46. C&J joins more than 100 energy producers and service companies that have filed for bankruptcy in the past two years after a debt-funded boom turned to bust when oil prices collapsed. The company filed for bankruptcy in Houston to implement an agreement reached with lenders who hold 83 percent of its credit facility debt, according to a company statement. Under a previously disclosed plan, lenders will receive all the stock in a reorganized C&J, subject to dilution for management incentive awards. Read more.
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