Houston-based energy co. reaches bankruptcy deal to cut billions in debt

Joshua Mann
Houston-based energy co. reaches bankruptcy deal to cut billions in debt

Houston-based EP Energy Corp. has reached a deal with its creditors on how to move forward with its ongoing bankruptcy. A group of noteholders including Apollo Global Management Inc. (NYSE: APO) and Elliot International LP will own 99 percent of the company, while the remaining 1 percent will be divided among the company’s unsecured creditors, according to documents filed with the U.S. Securities and Exchange Commission Oct. 21. As it stands now, the agreement would have EP Energy emerge from bankruptcy having eliminated $3.3 billion in debt, with cash from its equity offering and with a $629 million line of credit.