SandRidge Energy Inc. won court approval for a plan to exit bankruptcy on Friday, overcoming opposition from shareholders who had accused the oil and gas producer of misrepresenting its value, Reuters reported. Bankruptcy Judge David Jones said that he read every letter he received from individual shareholders, some of whom lost their entire savings, when SandRidge filed a prepackaged bankruptcy in May with $4.4 billion of debt. Judge Jones said he understood the pain that comes with losing an investment but was also aware that the reorganization plan was not to blame for the lost equity. "Equity was lost long ago," he said. Even though it is normal for shareholders to lose their investment during a bankruptcy, SandRidge's shareholders were hoping to prove its assets were valuable enough so they would recoup some money after repaying creditors. SandRidge said that it hoped to emerge from bankruptcy within the next month, eliminating $3.7 billion in pre-petition debt. Read more.
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