Yet Another Major Energy Company Limps Towards Bankruptcy Court
Tap to Call - (877) 250-8242

Yet Another Major Energy Company Limps Towards Bankruptcy Court

May 7, 2012

By:

Share this article

SHARE

 

Bicent Holdings LLC and 12 of its indebted subsidiaries are seeking protection from creditors by filing for Chapter 11 bankruptcy, according to a report from Bloomberg News.

The electricity producer and its affiliates plan to file a pre-arranged reorganization scheme with the bankruptcy court within the next week, according to sources.

In its bankruptcy filing, which took place in U.S. Bankruptcy Court in Wilmington, Delaware, the energy producer claimed that it had less than $500,000 in assets, but as much as $1 billion in debt.

The staggering debt load carried by the energy producer is not uncommon with similar companies these days, which is why bankruptcy headlines have recently read like a laundry list of energy companies in the United States.

The financial crisis took a severe toll on energy generating facilities, as well as the groups that fund them. And a wave of bankruptcies has struck energy producers across the country, from eastern electricity producers to those in the west, including Bicent Holdings, which is based in Colorado.

In the company’s bankruptcy filing, Christopher Ryan, the Chief Financial Officer of Bicent Holdings, said that the "company engaged in extensive negotiations with the supporting lenders, which resulted in the debtors successfully negotiating a pre-arranged plan of reorganization."

Among the company’s largest creditors were Barclays Capital, which is owed $65.5 million, Lea Power Partners LLC, which is asking for $22 million, and the Montana Department of Revenue, which has a claim of just under $1 million.

Presumably, if Bicent Holdings was able to come to a pre-arranged bankruptcy agreement, it reached a suitable understanding with these three primary creditors with respect to the repayment of its debts.

The company, which is based in Lafayette, Colorado, owns two different power generating facilities. One facility, which is located near Billings, Montana, is a 120-megawatt coal-fired plant. The other, which is located just east of San Francisco, is a 48-megawatt natural gas facility.

Subsidiaries of Bicent Holdings that are also filing for bankruptcy include groups like Colorado Energy Management, CEM Energy Services, Colorado Cogen Operators, San Joaquin Cogen, Rocky Mountain Power and Hartwell Power Co.


Back to Newspaper Home


Tap to Call - (877) 250-8242

Copyright © 2018 MH Sub I, LLC. All rights reserved. ® Self-help services may not be permitted in all states. The information provided on this site is not legal advice, does not constitute a lawyer referral service, and no attorney-client or confidential relationship is or will be formed by use of the site. The attorney listings on this site are paid attorney advertising. In some states, the information on this website may be considered a lawyer referral service. Please reference the Terms of Use and the Supplemental Terms for specific information related to your state.Your use of this website constitutes acceptance of the "Terms & Conditions", "Supplemental Terms", "Privacy Policy" and "Cookie Policy."