Escalera Resources Co. (fka ESCRQ)

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ATTN: SELL ASAP IMO: 14:45 ET - Oil-and-gas driller Escalera (ESCR) filed for bankruptcy in Colorado yesterday after striking a deal with its bank lender which will take the company private.

Lenders led by Societe Generale will fund the bankruptcy for $15M in new debt secured by the Denver-based company's oil-and-gas reserves, plus a portion of a new $21.9M second-lien note.

Common stock will be canceled and 51% of post-bankruptcy equity will go to executives under a management-incentive plan. Unsecured creditors have the option to invest in the new second-lien debt, share in the remaining 49% equity stake or take a cash distribution. ESCR was above $3 when oil prices started to slide in mid-2014 and have been below 50c the past 8 months. It's down a penny at 2c today. ([e-mail]; @patfitzgerald23) (END) Dow Jones Newswires November 06, 2015 14:45 ET (19:45 GMT) Copyright (c) 2015 Dow Jones & Company, Inc. 110615 19:45 -- GMT Story ID: NOV062015_DJQ_02qS Keywords: BANKRUPTCY-RELATED FILINGS, CORPORATE ACTIONS, ALL COMPANY NEWS, ENERGY Symbols: ESCR