Just Energy files for creditor protection in Canada, plans Chapter 15 in U.S.
Mar. 09, 2021 11:57 AM ETJust Energy Group Inc. (JE)JEBy: Carl Surran, SA News Editor10 Comments
- Just Energy (JE) says it is restructuring under the Companies' Creditors Arrangement Act in Canada and will seek similar creditor protection under Chapter 15 bankruptcy in the U.S.
- The company also reached an agreement with one of its term loan lenders for a $125M debtor-in-possession financing to meet its regulatory obligations in North America, including payments required by the Texas grid operator ERCOT.
- The filings are the result of last month's unprecedented cold weather in Texas and corresponding charges from ERCOT currently totaling more than $250M that must be paid in the near term.
- Just Energy raised doubts last month about its ability to continue as a going concern.