Energy XXI Ltd (NASDAQ: EXXI) Poised for More Losses After Bankruptcy Filing?

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Energy XXI Ltd (NASDAQ: EXXI) joined the list of smaller oil-and-gas companies reeling from falling crude oil prices.

Energy XXI Ltd (NASDAQ: EXXI) provides acquisition, exploration, development, and operation of oil and natural gas properties in Louisiana, Texas, and the Gulf of Mexico. It is also the independent operator on the GoM Shelf operating seven of the GoM Shelf fields. The company had filed for bankruptcy last Thursday yet the stock price was up 25% then before sliding more than 10% on Friday.

The stock is expected to be delisted today and the company has said that it doesn’t plan to appeal Nasdaq’s decision to remove the stock from listings after it filed for Chapter 11 bankruptcy. Still, the company expects the stock to be eligible to be quoted on the OTC Pink market.

Analysts project that the stock price of Energy XXI Ltd (NASDAQ: EXXIcould face further declines. The company was able to strike a tentative deal on the terms of a $1.45 billion debt-for-equity swap with a group of its bondholders.  With this restructuring, the bondholder group includes Covalent Capital, DW Partners and Franklin Advisers Inc. which agreed to swap their second-lien debt for 100% of the shares in a reorganized company subsidiary.

In its latest quarter Energy XXI Ltd (NASDAQ: EXXIreported a decline of $1.93 a share. The posted earnings was worse than the analyst’s consensus of a decline of $1.23 in earnings per share

Energy XXI Ltd (NASDAQ:EXXI) has declined 86.21% since September 14, 2015 and is trending lower. The company, which was founded in 2005 in Houston, was formerly known as Energy XXI (Bermuda) Limited and changed its name to Energy XXI Ltd. in November 2014. John D. Schiller, who founded the company, will stay on as chief executive of the new company under restructuring.

As of this writing, approximately 60 North American gas and oil companies have filed for bankruptcy since oil prices started plummeting in late 2014.

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