An ad hoc group of noteholders has filed a 2019 statement showing collective holdings of USD 155m (77.88%) of Armstrong Energy Inc.’s USD 200m 11.75% senior secured notes due 2019. The ad hoc group, which is party to a restructuring support agreement with the debtors, is led by BlueMountain Capital Management, USD 56m (28.1%) and Caspian Capital, USD 34m (17.2%). Marathon Asset Management, USD 27m (13.5%), GoldenTree Asset Management, 22m (11.2%), The Teachers Insurance and Annuity Association of America, USD 11m (5.7%) and Panning Master Fund, USD 4.4m (2.2%) round out the group.
Pursuant to the RSA, the ad hoc group would serve as a stalking horse bidder and credit bid USD 90m of their notes for 100% of the equity in the restructured debtors, which would be operated by Knight Hawk Coal in a joint venture structure. As of the petition date, the 11.75% notes traded at 13.6.
The ad hoc group is represented by Paul, Weiss, Rifkind, Wharton & Garrison LLP and Carmody MacDonald, P.C.
by Paul Gunther
Paul Gunther is a former practicing restructuring and litigation attorney. Prior to joining Debtwire as a Legal Analyst, Paul practiced in the New York offices of Dentons US LLP, Salans LLP and Mayer Brown LLP. He has represented various constituencies in high-profile restructurings.
Any opinion, analysis or information provided in this article is not intended, nor should be construed, as legal advice, including, but not limited to, investment advice as defined by the Investment Company Act of 1940. Debtwire does not provide any legal advice and subscribers should consult with their own legal counsel for matters requiring legal advice.