Friday, October 15, 2021
70.3 F
Fort Worth

Chesapeake to spin off oilfield services unit

🕐 1 min read

OKLAHOMA CITY (AP) — Chesapeake Energy Corp. has filed regulatory paperwork for a possible spinoff its oilfield services business unit.

The Oklahoma City-based natural gas company said in February that it was considering selling or spinning off the unit to help maximize shareholder value. Chesapeake said Monday that the spinoff will be tax-free to its shareholders. It has not determined the exact scope or timing of the spinoff, according to the paperwork filed with the U.S. Securities and Exchange Commission. It has retained Morgan Stanley & Co. LLC as its financial adviser in connection with the deal.

The division is expected to change its name to Seventy Seven Energy Inc. as part of the spinoff. The unit posted a profit of $19.9 million on revenue of $1.3 billion in 2011, the most recent fiscal year included in the SEC filing. Chesapeake Energy is the second-largest producer of natural gas and tenth-largest producer of oil and natural gas liquids in the U.S.

Robert Francis
Robert is a Fort Worth native and longtime editor of the Fort Worth Business Press. He is a former president of the local Society of Professional Journalists and was a freelancer for a variety of newspapers, weeklies and magazines, including American Way, BrandWeek and InformatonWeek. A graduate of TCU, Robert has held a variety of writing and editing positions at publications such as the Grand Prairie Daily News and InfoWorld. He is also a musician and playwright.

Related Articles

Our Digital Sponsors

Latest Articles

Not ready to subscribe?

Try a few articles on us.

Enter your email address and we will give you access to three articles a month, to give us a try. You also get an opportunity to receive our newsletter with stories of the day.

Get our email updates

Stay up-to-date with the issues, companies and people that matter most to business in the Fort Worth.

  • Restaurants
  • Technology
  • and more!

FWBP Morning Brief

FWBP 5@5

Weekend Newsletter

  • Banking & Finance
  • Culture
  • Real Estate