Independence Contract Drilling, Inc. Announces Emergence from Chapter 11 as a Private Company with Increased Liquidity and a Significantly Deleveraged Balance Sheet

HOUSTON, Jan. 20, 2025 /PRNewswire/ -- Independence Contract Drilling, Inc. (the "Company" or "ICD") today announced that it has successfully completed its Chapter 11 restructuring process and has emerged as a private company that is financially and operationally stronger and well-positioned for the future. ICD's Plan of Reorganization was confirmed by the Bankruptcy Court on January 9, 2025.

As a result of the process, ICD eliminated over $197 million of convertible debt, significantly improved its working capital position and is emerging with an undrawn $30 million revolving credit facility that will be immediately available to support ICD's strategic and operational plans. 

Anthony Gallegos, ICD's president and chief executive officer, said, "Today marks a significant point in ICD's history as we pivot to private-company ownership with a significantly reduced and streamlined corporate cost structure. More importantly, we have significantly deleveraged our balance sheet and added additional liquidity through improved working capital and a new $30 million undrawn working capital facility. I am particularly pleased that, during this process, none of our unsecured creditors were impaired. With this significantly improved financial foundation, ICD is poised to meet and exceed our customer's expectations in the continually evolving U.S. land contract drilling industry."

Advisors?

Sidley Austin LLP served as ICD's restructuring counsel, Riveron served as ICD's restructuring advisor, and Piper Sandler served as ICD's investment banker.

Latham & Watkins LLP served as legal counsel for the holders of convertible notes.

About Independence Contract Drilling, Inc.

Independence Contract Drilling provides land-based contract drilling services for oil and natural gas producers in the United States. The Company constructs, owns and operates a fleet of pad-optimal ShaleDriller rigs that are specifically engineered and designed to accelerate its clients' production profiles and cash flows from their most technically demanding and economically impactful oil and gas properties. For more information, visit www.icdrilling.com.

CONTACT INFORMATION:

Independence Contract Drilling, Inc.
E-mail inquiries to: [email protected]
Phone inquiries: (281) 598-1211

SOURCE Independence Contract Drilling, Inc.