After its stock fell by more than half and was halted multiple times in early-Monday trading, Chesapeake Energy (CHK) issued a statement in which is said it had "no plans" to pursue bankruptcy.
The Oklahoma-based company's stock plunged over 30% in pre-market trading on Monday and continued its decline at the open following a report from Debtwire, which said the company hired Kirkland & Ellis as its bankruptcy/restructuring attorney.
In Monday's press release, Chesapeake Energy affirmed that it does work with Kirkland & Ellis and has since 2010. Furthermore, the company affirmed that Kirkland & Ellis has advised the company on how it can strengthen its balance sheet after Chesapeake's debt exchange in December.
On talk that the company may be filing bankruptcy, Chesapeake Energy said it "has no plans to pursue bankruptcy and is aggressively seeking to maximize value for all shareholders."
The company's stock was halted several times on Monday morning due to volatility as well as news pending. Shares bounced back following the press release but were quickly halted again.
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