Ultra Petroleum Corp fka UPL

[fastlane2000]

this thing has really gone flat since the r/s ( just like this message board lol ) it may be good for day trading.

[fastlane2000]

now is a good time to buy, it should get back to the value before the split IMO

[fastlane2000]

when is this board going to update??????????????????

[bogblog]

Tomorrow should be an interesting day imo

[Renee]

Thank you. New ticker submitted to ADMIN.

[eFinanceMarkets]

Ultra Petroleum exits bankruptcy; to begin trading tomorrow on Nasdaq

Ultra Petroleum (OTCPK:UPLMQ) says it has emerged from Chapter 11 bankruptcy after successfully completing its in-court restructuring; newly issued shares will begin trading tomorrow on the Nasdaq GSM under the ticker symbol UPL.

In connection with its emergence from chapter 11, Ultra says it is issuing 195M new common shares; all existing UPLMQ shares have been cancelled, with existing shareholders receiving new common shares as set forth in the plan of reorganization.

[Renee]

UPLMQ: BK PLAN effective. Shares cancelled; shareholders will receive 0.521562 new common shares per existing common share.

http://otce.finra.org/DLDeletions

[ml660]

Ultra Petroleum Successfully Emerges From In-Court Restructuring

[Imagineer66]

So, basically a 1 for 2 exchange. Hmm, is this a $1% company or more?

[SATELLITE]

It may stay the same?

GL

[SATELLITE]

The Bones

http://otce.finra.org/DailyList

Summary



Date/Time

Event Type

Eff/Ex Date/Time

Symbol

Issue Name

Market

04/12/2017 09:14:00 Bankruptcy Plan Effective Shares Cancelled/Distribution 04/12/2017 09:14:00 UPLMQ Ultra Petroleum Corp Common Shares Other OTC


Comments

Shares cancelled; shareholders will receive 0.521562 new common shares per existing common share.

Details




Previous Value

Current Value

Symbol UPLMQ
Issue Name Ultra Petroleum Corp Common Shares
Class
Financial Status Indicator Q
Market Category Other OTC




Current Value

Daily List Date/Time 04/12/2017 09:14:00
Event Type Bankruptcy Plan Effective Shares Cancelled/Distribution
Effective/Ex Date/Time 04/12/2017 09:14:00
Symbol UPLMQ
Issue Name Ultra Petroleum Corp Common Shares
Class
Market Category Other OTC
Offering Type No Restrictions
Daily List Comment Shares cancelled; shareholders will receive 0.521562 new common shares per existing common share.
Subject to Corporate Action
Forward Split Ratio
Reverse Split Ratio
Dividend Type null
Percentage 0
Cash Amount 0
Declaration Date
Record Date
Payment Date
Payment Method

[axle1090]

what is the new ticker?

[SATELLITE]

Here we go.........

http://otce.finra.org/DailyList

[Imagineer66]

Would have expected 4/1. However, they have to sell the new bonds to pay for everything. As I recall, those just went on sale. BK closing depends on how long that takes.

[moneymaker245]

When can we expect the q from the ticker is removed?

[wiltonio]

WHITEBOX ADVISORS LLC has filed a new 13G, reporting 5.1% ownership in $UPLMQ - https://fintel.io/so/us/uplmq

[kber]

my understanding was that the new company would only be 41% owned by investors hence the .68485 number and the 13.65 number was to be what the institutions needs the shares to be valued at to reach their finance objectives. so for every share you now hold ,you would get .31185 of the new company.so basically a 3:1 reverse split. correct me if im wrong in my thinking

[fastlane2000]

66 I don't have any conversion ratio (except what was in the R & O letter) I just have reservations when the company starts talking about dilution, although in good faith. I'am going to ride this out now that I didn't exercised my right.

[Imagineer66]

What do you expect the NEWCO PPS to be and at what conversion ratio from UPLMQ?

[fastlane2000]

THE way the PPS have been dropping should have sold and bought back in at the new company shares. still confused!!!!!!!!!!!!!!!!

[fastlane2000]

THe subscription dead line was at 4:00 DALlas time, so now its wait and see how this pans out.

[Imagineer66]

The new Value of old UPLMQ is between $13 and $16. What the PPS will be depends on how many NEWCO shares they issue. Can't find the conversion ratio. Given that they are selling via the RO NEWCO shares at about $14 and the POR says the RO must be at least a 20% discount, I'm thinking the new PPS will be about $16 and probably a 1:1 conversion ratio but that is guess work.

[cents2ks]

I thank you for sharing your diligence on the agreement (POR).

So then...why the pps?

I'm still missing something...or the market is...

[Imagineer66]

I think I'm figuring this out.

For those of you who received "Offers" that is for the Rights Offering (RO) not for the conversion of your current shares. That Offering email tells you that you can buy 0.068xx additional new shares at whatever price they said. I don't know why some of you received different prices or even different offering ratios.

So, if you take advantage of this RO, you will receive 7 NEWCO common shares for every 100 UPLMQ common shares you currently hold. You will pay whatever your offer letter said, roughly $100 for every 100 UPMLQ current shares.

You will receive RO NEWCO shares bought + converted NEWCO from UPLMQ (UPLMQ*conversion ratio) on or about Mar 31 when Ultra Petroleum exits BK.

Hope this helps.

[cents2ks]

I do agree with you here though...something just doesn't seem right.

Haven't watched this one close enough to know, or offer an opinion about, what the problem might be.

I do know that tunnel vision hurts

OUCH!

[Imagineer66]

Re:UPLMQ Something doesn't seem right.
Is the $13.85/14.65 the "rights offering" price or the initial listing price of the newco?

I don't have time to read the WHOLE plan but did so some digging. Here's what I know for sure.

Value of new Holdco is $6.0B per the judge's order (Docket #1328).

Quoting the plan here.
93. "HoldCo EquityHolder" means any holder of Exiting HoldCo Common Stock.
94. "HoldCo Equityholder New Common Stock Distribution" means: (1) 41.0% of the New Common Stock, subject ot dilution on account of the Management Incentive Plan, in the even that the Settlement Plan Value Equals $6 billion;"
95. "Holdco Equityholder Subscription Rights" Means: (i) in the even that the Settlement Plan Value equals $6billion, the Subscription Rights offered to Existing HoldCo Common Stock to participate in the Rights Offering for 5.7% of the New Common Stock, inclusive of New Common Stock issued on account of the Commitment Premium and subject to dilution on account of the MIP.
96. "HoldCo Equity Rights Offering Shares" means 25% of the Rights Offering Shares.

4.17 Management Incentive Plan
The Plan provides for the establishment of the MIP under which 7.5% of the fully-diluted, fully-distributed shares of HoldCo will be reserved for issuance to management.


So ...
Either (if MIP dilution is after share price is calculated)
$6B*41% = $2.46B to the existing equity holders.
$2.4B/153.42M existing shares = $16.034 per share.

or,

(MIP dilution is deducted from item 94 above)
$6B*(41%-7.5%)/153.24M existing shares = $13.10 per share.
Please note that this assume all dilution is immediate and at the entire expense of the existing equity, neither of which may be true as the MIP vests 1/3 of the grants at different intervals.

So, the value per share of the existing common is somewhere between $13.10 and $16.60. This assumes that all of the Rights Offering are sold to raise the needed capital to pay certain debts. I suspect that if there is not enough capital raised by the sale of the RO then the issue price will reflect that.

But wait! There's more if you buy NOW, we'll through in an extra set of ginsu knives er, common shares.

The $13.85 is the price of new shares if you want to buy more shares before they hit the market. They haven't exactly said what the new issue price will be but I'm guessing it's got to be very close to that $16.

[moneymaker245]

ultra news exit ch11 on or about march 31. is this the date to distribute the new/converted shares?

On March 14, 2017, the Bankruptcy Court issued an order confirming Ultra's plan of reorganization and an order determining that Ultra's plan value is $6.0 billion. These orders clear the way for Ultra to exit chapter 11 once the financing transactions to fund its plan of reorganization are closed, which is expected to occur on or about March 31, 2017.1

[ml660]

more links about plan approval
http://seekingalpha.com/news/3251140-ultra-petroleum-chapter-11-exit-plan-approved-court?uprof=51&utoken=8618fa84c29ebc7bf0c27fdd6fb2c3b0#/email_link

[ml660]

Sorry, I mean Docket #1324

[ml660]

Looks like the plan was approved, see docket#1326 for yourself.http://dm.epiq11.com/#/case/Ultra/info, for your own confirmation; and after market quote went up.Price may jump tomorrow.

[fastlane2000]

looks like to me if you don't convert at the 13.85 you will be converted any way . but at a different price.(I'am not a lawyer, just stumbling through the paper work)

[Imagineer66]

If I read that right, that's 1 newco share for every 16 existing UPLMQ. If my calcs are correct that mean todays 1 UPLMQ stocks is worth a little less than $1.

Did I miss something?

[kber]

you mean 13.85??? thats what mine says

[fastlane2000]

HAS everybody got there chapter 11 reorganization voting package???

[moneymaker245]

fyi share offer:
have a offer in my account 0,068258 shares / 1 existing share
offer price @ 14.65$

[fastlane2000]

billybust210,,, I can't give advice , I don.t have a crystal ball.like i have said in the past i'am in this for long haul. in a normal stock I would have taken my profit and run. GLTY never invest more than you can afford to loss!!!!!!!!!!!!!!!!!!

[billybusts210]

Louis and Fastlane I am brand new to this forum and beleive Ultra is a good company!!! I got in at .40 and needless to say that is a monster gain ! I saw your posts and they definitely made sense Thank You !!! I am an amateur investor that has done well on Q stocks but need some advice as of today we had a big lose !!! Should i sell my position or wait out the new company....any suggestions much appreciated !!!

[ml660]

Secured, Unsecure financing of up to $2.4 billion announced - see detail here: http://www.investorvillage.com/smbd.asp?mb=401&mn=37486&pt=msg&mid=16848759

[fastlane2000]

LOUIS thanks i'am in this for the long haul we will see what happens

[LouisDesyjr]

Reverse split? Not likely

I do not think they will bother with a reverse split plus I do not think they can do a reverse split without bankruptcy court approval. They can just do that in the reorg plan by a combination of what the old shares covert into new shares and how many of the new shares get allocated to the old equity.

Louis J. Desy Jr.

[monsieur Delage]

Very kind gesture sir.
' The wise man is not afraid to admit when he is wrong.'

so in the end.. the figures post BK are not as bad as suggested?

[fastlane2000]

Louis thanks for the reply , does this mean later this fall we will have RS and the shareholder get screwed with reduced new shares..

[LouisDesyjr]

Need to recalc

I think I made two mistakes in my calculations. I need to recalc and will post as soon as I finish.

Louis J. Desy Jr.

[LouisDesyjr]

Maybe after Aug 27, 2017

According to document 1049, the company has filed to extend the exclusive period to file a reorg plan until June 29, 2017 with an additional deadline until August 29, 2017.

IF the request gets approved, that would mean the case will go on until at last Fall 2017 before the plan was confirmed.

Louis J. Desy Jr.

Link to document:
http://dm.epiq11.com/#/case/UPT/dockets/1049

[monsieur Delage]

"...document 817 lists possible company values of $5.5 billion, $6 billion and $6.25 billion; so assume NewCo has 154 million shares with a value of $5.5 billion. That would make each Newco share worth $8.67. "

Sir could u enlighten us? Cuz I couldn´t figure out your maths!

[fastlane2000]

LOUIS when is this to take place?????????????

[LouisDesyjr]

Calculations for new common

Assuming the number of shares stay the same as afterwards, call it 154 million shares in Newco (reformed company after chapter 11).

A share right now is $7.50. After Chap 11, that share is only going to be about 35% in Newco equity and maybe less, so the price of existing common shares to new shares would be $7.50/35% or $21.40 per share in NewCo.

document 817 lists possible company values of $5.5 billion, $6 billion and $6.25 billion; so assume NewCo has 154 million shares with a value of $5.5 billion. That would make each Newco share worth $8.67.

Buying the existing common shares at $7.50, that get exchanged into Newco shares at 35% cost $21.40, so the stock at $7.50 is way too high.

The current stock price needs the shares to drop to at around $3 ( $3.00/35% is equal to the expected Newco share value of $8.67 ) in order for the exchange to be equal value, and lower to have a margin of safety.

Louis J. Desy Jr.

[LouisDesyjr]

Document 817

It looks like the existing common shares are class 14 in the plan:

Class 14 — Existing HoldCo Common Stock
(1) Classification: Class 14 consists of all Existing HoldCo Common Stock.
(2) Treatment: On the Effective Date, each holder of Existing HoldCo Common Stock shall
receive its Pro Rata share of the HoldCo Equityholder New Common Stock Distribution.
In addition, each holder of Existing HoldCo Common Stock as of the Rights Offering
Record Date shall receive its Pro Rata share of the HoldCo Equityholder Subscription
Rights.

It looks like the existing common shares will get converted into about 35% of the new company:
72. “HoldCo Equityholder New Common Stock Distribution” means: (i) 41.0% of the New Common
Stock, subject to dilution on account of the Management Incentive Plan, in the event that the Settlement Plan Value
Case 16-32202 Document 817 Filed in TXSB on 12/06/16 Page 10 of 54
7
equals $6 billion; (ii) 31.8% of the New Common Stock, subject to dilution on account of the Management Incentive
Plan, in the event that the Settlement Plan Value equals $5.5 billion; or (iii) 44.8% of the New Common Stock,
subject to dilution on account of the Management Incentive Plan, in the event that the Settlement Plan Value equals
$6.25 billion.

The problem is figuring out what the company is able to generate in order to have any idea of what the shares are worth.

Louis J. Desy Jr.

[DeafTrader2]

VNR = UPLMQ

Any Comments ??