Business
Special Committee of Independent Directors of Calfrac Completes Evaluation of Proposal from Wilks Brothers
Special Committee of Independent Directors of Calfrac Completes Evaluation of Proposal fro...
About this update from Calfrac Well Services Ltd.
[{"type":"text","content":"\n\n\n\nSpecial Committee of Independent Directors of Calfrac Completes Evaluation of Proposal from Wilks Brothers\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, AB, Aug. 17, 2020\n\n\n\nCALGARY, AB, Aug. 17, 2020 /CNW/ - (TSX: CFW)  As previously disclosed, Calfrac Well Services Ltd. (\"Calfrac\" or the \"Company\") received an alternative business proposal from Wilks Brothers, LLC ( \"Wilks Brothers\") on August 4, 2020.  The Special Committee of Independent Directors of Calfrac has determined that the Wilks Brothers proposal is not a \"Superior Proposal\", as that term is defined in the support agreements governing Calfrac's proposed recapitalization transaction, as described in the July 14, 2020 press release (the \"Recapitalization Transaction\"). As part of its determination, amongst other factors, and based on direct discussions with holders of Senior Unsecured Noteholders holding the majority of the face value of the Senior Unsecured Notes, the Special Committee concluded that the Wilks Brothers proposal could not reasonably be expected to result in a transaction more favourable to the Corporation and its stakeholders (including the Senior Unsecured Noteholders) as it lacks the required level of support from Senior Unsecured Noteholders. This determination means that Calfrac will be continuing to seek approval for the Recapitalization Transaction, which is to be implemented pursuant to a plan of arrangement (the \"Plan of Arrangement\").\nThe Special Committee reached its conclusion after careful and thorough investigation and consideration, and with the input and advice of its independent legal counsel, Norton Rose Fulbright Canada LLP, and from financial advisors Perella Weinberg Partners/Tudor, Pickering, Holt & Co. and RBC Capital Markets. \nFurther, the Special Committee took note of the Company's previously announced Recapitalization Transaction, which now has the support of holders (the \"Supporting Noteholders\") of approximately 78% of the Senior Unsecured Notes, surpassing the required 662/3% support ...