Pacific Exploration & Production Corp said its board was in favor of a restructuring proposal submitted by Catalyst Capital Group, after comparing it with a bid by EIG Global Energy Partners.
EIG Global, a U.S. private equity firm, submitted a binding proposal in early May to provide US$250 million debtor-in-possession (DIP) financing to Pacific Exploration and sponsor the company’s restructuring.
Catalyst Capital, a Canadian private equity firm, had also agreed to provide US$250 million in DIP financing in April to take a 29.3 percent stake in the restructured company.
Update: Pacific Exploration is a Toronto-based explorer and producer of natural gas and crude oil in Latin America.
(Reporting by Vishaka George in Bengaluru)
(This story has been edited by Kirk Falconer, editor of PE Hub Canada)
Photo courtesy of Reuters/Jose Miguel Gomez