Nine Energy Service, Inc. and nine affiliated debtors are in the final wind-down of a prepackaged Chapter 11 that eliminated more than $320 million of funded debt, with the Reorganized Debtors now seeking a final decree to close the bulk of the cases. The case — Case No. 26-90295 before Judge Christopher M. Lopez in the Southern District of Texas — moved from voluntary petitionDkt. 1 to emergence in about 33 days and is now administered almost entirely in post-confirmation cleanup.
The Houston-based oilfield services company (NYSE: NINE), with approximately 1,100 employees across U.S. and Canadian completion-tools, cementing, coiled-tubing, and wireline operations, arrived at bankruptcy on February 1, 2026 with a prepackaged plan already locked behind a Restructuring Support Agreement signed by holders of more than 70% of its Senior Secured Notes and its prepetition ABL lenders. The filing responded to an overleveraged capital structure carrying roughly $388 million of funded debt — $319.5 million of 13.000% Senior Secured Notes due 2028 and a $68.5 million White Oak ABL facility priced at SOFR + 4.00%–4.50% — layered onto persistent pricing declines, softening E&P spending, and an NYSE share-price non-compliance notice that had pushed the equity toward delisting. Declaration of Guy SirkesDkt. 4
The prepack equitized the notes rather than sell the business. Under the plan, Senior Secured Noteholders took 100% of the new equity in reorganized Nine, subject to dilution from a 10% management incentive plan; prepetition ABL claims were paid in full or refinanced; general unsecured claims were left unimpaired and paid in the ordinary course; and existing common stock was cancelled with no distribution. A $125 million senior secured superpriority priming ABL DIP revolver from White Oak, paired with cash-collateral use, funded in-case operations and bridged the company to an exit facility. The structure carried the debtors from petition to a confirmed and effective plan inside five weeks, with the confirmation order entered March 4, 2026 and the effective date reached the following day.
Post-effectiveness, the docket has narrowed to fee and decree administration. On June 8, 2026 the court overruled creditor objections and approved the final fee applications of the restructuring professionals — Kirkland & Ellis as counsel, Moelis & Company as investment banker, and FTI Consulting and KPMG as advisors — closing out the compensation record. Final Fee OrdersDkt. 334 Ten days later the Reorganized Debtors moved for a final decree to close nine of the ten cases, retaining only MOTI Holdco, LLC as a remaining case to administer claim objections, ongoing litigation, and a pending appeal. Motion for Final DecreeDkt. 339
