Finance
UK's Petrofac's restructuring plan to leave shareholders empty-handed
Published by Global Banking and Finance Review
Posted on October 17, 2025
1 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on October 17, 2025
1 min readLast updated: January 21, 2026
Petrofac's restructuring will leave shareholders with no value, driven by rising costs and delayed payments in a volatile energy market.
(Reuters) -Oilfield services provider Petrofac said on Friday its ongoing restructuring would leave existing shareholders with no residual value, as it moves to complete the process by November-end.
Petrofac is restructuring its finances under pressure from rising costs and delayed payments, a move that reflects wider challenges facing oilfield service firms in a volatile energy market.
It said its chosen restructuring route, aimed to support operational capability and ongoing delivery, is progressing well, with a lock-up agreement expected shortly.
The company develops and operates infrastructure for oil, gas, refining, petrochemicals, and renewable energy.
In its October 1 update, Petrofac had said it was pursuing multiple restructuring routes, some potentially leaving shareholders with no residual value, and that the final path would be determined by creditor input.
(Reporting by Ankita Bora in Bengaluru; Editing by Mrigank Dhaniwala and Rashmi Aich)
Financial restructuring refers to the process of reorganizing a company's financial structure to improve its stability and efficiency, often involving debt reduction or changes in equity.
The oilfield services sector includes companies that provide equipment and services to support the exploration, extraction, and production of oil and gas.
Corporate governance refers to the systems and processes that direct and control a company, ensuring accountability and transparency in its operations.
Investment management services involve managing investments on behalf of clients, including asset allocation, portfolio management, and financial planning.
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