Nine Energy Service, Inc. 8-K

What Happened

• Nine Energy Service, Inc. (NINE) and certain subsidiaries filed voluntary Chapter 11 petitions in the U.S. Bankruptcy Court for the Southern District of Texas on February 1, 2026 to implement a prepackaged plan of reorganization.
• On February 3, 2026 the Bankruptcy Court approved on an interim basis a Senior Secured Superpriority Asset-Based Debtor-in-Possession Loan and Security Agreement providing up to $125 million in revolving DIP ABL commitments. The DIP agreement was entered into with White Oak Commercial Finance, LLC as agent and White Oak ABL 3, LLC and White Oak Europe ABL Limited as lenders. The DIP facility includes a roll-up/refinancing of the company’s prepetition ABL obligations and contains terms to convert into an exit ABL facility.

Key Details

• Chapter 11 petition date: February 1, 2026 (Southern District of Texas).
• Interim DIP ABL Facility: up to $125.0 million in revolving commitments; Bankruptcy Court interim approval on February 3, 2026.
• Exit conversion: DIP contemplates conversion into an Exit ABL Facility of up to $135.0 million in revolving commitments upon Plan confirmation/effective date (terms per Exit ABL Term Sheet in the Restructuring Support Agreement).
• NYSE action: NYSE suspended trading of NINE common stock on February 2, 2026 and filed Form 25 on February 5, 2026 to delist the shares after the company said it would not appeal; SEC reporting obligations continue.

Why It Matters

• The Chapter 11 filing and the DIP financing are material because they set the framework and provide near-term liquidity for Nine Energy’s planned prepackaged restructuring. The $125M DIP gives the company operational funding but is subject to bankruptcy-court oversight and Plan conditions.
• Conversion to a larger $135M Exit ABL is contingent on Plan confirmation and other conditions; if those conditions are not met, the company’s post‑restructuring financing and capital structure could differ materially.
• The NYSE suspension and delisting application will reduce public trading liquidity in NINE shares, though the company will remain a SEC reporting company. Investors should note these facts are procedural and part of the restructuring process described in the 8‑K.