Oil discipline employee, Miguel Holguin, operates a swabbing rig in a discipline in Seminole, TX, September 19, 2019.
Adria Malcolm | Reuters
The mounting troubles for cash-strapped oil and fuel corporations and their lenders is about to get a lot worse, a trio of distressed investing and financing specialists stated on Monday, nevertheless it may very well be a shopping for alternative for strategic distressed debt traders.
Oil and fuel corporations are going through a slew of headwinds: stagnant commodity costs, together with provide, transportation and geopolitical challenges. This has given strategy to a rising variety of out-of-court recapitalizations, formal chapter circumstances, and the closing of debt and fairness home windows to grease and fuel and oilfield service corporations.
An enormous load of excessive yield debt coming due within the subsequent few years was one of many principal subjects on a panel entitled “Disaster within the Oilpatch — Hazard or Alternative for Lenders and Distressed Traders?” at annual the Distressed Investing Convention.
The business is going through a wall of maturities that can begin to hit within the second quarter of 2021, based on Todd…