Denbury Resources (DNR) looks set to become another energy bankruptcy after skipping an $8 million interest payment on June 30 for its 6.375% convertible senior notes due 2024.
With $636 million in debt maturing in 2021, there wasn't much of a path for Denbury to escape restructuring, especially with oil still around $40. Restructuring is likely to result in nearly all (if not all) of its new equity going to its second-lien noteholders. Denbury appears likely to be in reasonably good shape post-restructuring, as it has only a modest amount of credit facility debt and