GreenHunter Resources files for bankruptcy

Bankruptcy
Source: DollarPhotoClub

GreenHunter Resources, Inc. (NYSE MKT:GRH) (NYSE MKT:GRH.PC)which through its wholly-owned subsidiaries provides total water management solutions and oilfield fluid management solutions in the oilfield and its shale plays of the Appalachian Basin, announced yesterday that the company along with a number of its subsidiaries filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Texas, Fort Worth Division.

The Debtors have filed a motion with the Bankruptcy Court seeking joint administration of their Chapter 11 cases under the caption In re GreenHunter Resources, Inc., et al.  The Debtors will continue to operate their businesses as “debtors-in-possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court.  The Debtors anticipate that they will conduct a Section 363 sale of substantially all of the Debtor’s assets pursuant to the Bankruptcy Code with an anticipated closing date of May 5, 2016.

In connection with the Chapter 11 Cases, on March 1, 2016, the Company filed a motion seeking Bankruptcy Court approval of debtor-in-possession financing on the terms set forth in a contemplated Debtor-in-Possession Credit Facility.  The DIP Credit Facility, if approved by the Bankruptcy Court, provides for senior secured super priority term loans in the aggregate principal amount of approximately $3.5 million.

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