Willkie represented a group of pre- and post-petition lenders in the case.
On January 31, 2020, the chapter 11 bankruptcy plan for Southcross Energy Partners, L.P., a natural gas gathering, processing and services provider, went effective. The effective date was the culmination of months of negotiations between Southcross and its major creditor constituencies. Throughout the case, Willkie represented a group of pre- and post-petition lenders, including over 70% of Southcross’ revolver lenders and over 80% of the company’s term loan lenders.
Willkie’s group provided Southcross with debtor-in-possession financing, which allowed the company to conduct a marketing process for their assets pursuant to section 363 of the Bankruptcy Code. After selling certain non-core assets, the Debtors reorganized around their core business through a chapter 11 plan of reorganization, with Willkie’s group taking ownership of the company through a debt-for-equity swap. The Debtors’ Disclosure Statement was approved at a hearing on November 6, 2019, after which a supplemental Disclosure Statement was approved on January 7, 2020 and a fully consensual plan confirmation hearing occurred on January 27, 2020.
The Willkie team was led by partner Joseph Minias and included partners Weston Eguchi, Mark Getachew and Paul Shalhoub and associate Debra Sinclair.