Gordian Group acted as financial advisor to Bayou Steel in connection with its bankruptcy reorganization.
Client: Bayou Steel
Bayou is a Louisiana-based steel minimill that produces light structural shapes and merchant bar products. In addition to its minimill, the Company operates a rolling facility in Tennessee and three stocking locations in Oklahoma, Illinois and Pennsylvania. All of the Company’s facilities are accessible through the Mississippi River waterway system. The Company markets its products to customers in the United States, Canada and Mexico.As a result of the weak economy, high energy costs and weak pricing due to import competition, Bayou and its subsidiaries filed for Chapter 11 in January 2003 following a default on its $120 million of publicly held notes.
Gordian Group was engaged by Bayou as restructuring advisor in conjunction with its Chapter 11 filing.
Bayou emerged from bankruptcy in February 2004 through an internal plan of reorganization in which creditors received cash, new debt and equity.