Will SeaDrill Limited (SDRL) be the Next Energy-Related Company to File Bankruptcy?

Did your broker over-concentrate your portfolio in:
SeaDrill Limited (SDRL)

During the days when oil was at an all-time high, energy companies like Seadrill piled on debt so they could expand around the globe. Now, many of these same companies are facing bankruptcy and many banks are dealing with bad loans on their balance sheets. Seadrill is the latest victim and it won't be the last.
The offshore driller watched its stock sink on mounting bankruptcy fears. SeaDrill Ltd. is likely to face trying times ahead in the coming months. The company’s shares plunged more than 55% to close at a record low of 74 cents on Apr 4 amid debt woes and bankruptcy talks. The shares further slid by around 7% to 69 cents on Apr 5.
This sharp decline came after the company announced that it has extended the deadline of the restructuring with the lenders by three months until July 31. If SeaDrill does not manage to get the restructuring correct within the time frame, the company is likely to default and the investors may face steep losses as the shares may lose all value.
SeaDrill carries the heaviest debt burden in the oil rig industry, with a total of $14 billion debts and liabilities. The company has been contemplating restructuring under bankruptcy for quite some time now but has not been able to secure a restructuring deal yet. After the announcement of the extension of the renegotiation period, the company has warned shareholders of severe losses.  SeaDrill said they "currently expects that shareholders are likely to receive minimal recovery for their existing shares."
During the days when oil was at an all-time high, energy companies like Seadrill added debt to expand around the globe. Now, many of these same companies are facing bankruptcy. Seadrill is the latest victim but it won't be the last.
With dozens of energy-related companies filing for bankruptcy since 2015 due to the plummeting prices of crude oil, unfortunately this could leave you at the end of a very long creditor’s line.  Soreide Law Group has heard from a growing list of investors whose brokers recommended a high-concentration of risky oil and gas stocks creating devastating.  If you’ve experienced losses due to your broker’s over-concentration of SeaDrill Limited (SDRL), or any other energy-related stock, call Soreide Law Group for a free consultation with a lawyer regarding the possibility of recovering your losses at:  888-760-6552.
Soreide Law Group represents clients nationwide before FINRA and we operate on a contingency basis.