The new shares of Tidewater Inc. TDW, +0.00% began trading on the New York Stock Exchange Tuesday, after the provider of offshore service vessels for the energy industry emerged from bankruptcy. The stock, which was listed under the same ticker symbol of "TDW" as it was before the emergence from bankruptcy, changed hands at $24.82 in morning trade, up 18% from an opening trade of $21. The stock had closed Monday at 93 cents. Through its bankruptcy, the company was able to eliminate $1.6 billion worth of debt, and cut annual interest and operating lease expenses by $73 million. "The company believes that its substantially deleveraged balance sheet positions it for long-term success for the benefit of all of its stakeholders," Tidewater said in a statement released Monday.
Tidewater emerges from bankruptcy
Offshore vessel owner Tidewater has emerged from bankruptcy after completing its reorganization. Through its reorganization plan, Tidewater eliminated approximately $1.6 billion in principal of outstanding debt, and considering the rejection of certain sale-leaseback agreements, Tidewater estimates that interest and operating lease expenses will be reduced by approximately $73 million annually.“The company believes that its substantially deleveraged balance sheet positions it for long-term success for the benefit of all of its stakeholders,” Tidewater said.“Today marks the completion of a restructuring and recapitalization that allows the company to move forward with a solid financial foundation from which we expect to continue to strengthen our business and grow,” said Jeffrey M. Platt, Tidewater’s President and Chief Executive Officer.“We now have the financial flexibility to continue to provide our customers with the safe, compliant, and efficient services that are the hallmark of our company. Tidewater is thankful for the continued support of our many stakeholders, including our lenders, noteholders, stockholders, employees, customers, vendors and trade creditors. Their support has been integral to the successful outcome of the chapter 11 process.”The company’s new common stock has been approved for listing on the New York Stock Exchange (the NYSE) under the same NYSE ticker symbol “TDW” as the shares of the company’s existing common stock. Trading in the new common stock on the NYSE was expected to start on Tuesday, August 1, 2017.