McDermott International Ltd. picked up more than $250 million in new capital and reached a transaction support agreement with 75% of its creditors and equity holders in a restructuring move.

The agreement will allow the engineering and construction firm to operate its business, deliver on existing projects and expand backlog with new client projects, according to a Sept. 8 press release.

Under the terms of the agreement, McDermott will amend and extend its term loans and letter of credit facilities through mid-2027 with no change in pricing. The agreement also increases the company's liquidity and discharges certain legacy legal liabilities.

The transaction will require legal and regulatory approvals by authorities in the U.K., the U.S. and the Netherlands.

"Over the past 24 months, our executive leadership has made transformative progress in resetting and implementing our business strategy by leveraging the strength of our operating business and tailoring our approach to our core clients," said Michael McKelvy, McDermott president and CEO. "We are pleased to have reached this agreement with our key stakeholders, which demonstrates their confidence in the long-term strength and sustainability of our business. These proactive steps ensure that McDermott is strongly positioned to deliver on our growing number of client projects as we continue our important work of accelerating the energy transition in our industry."

Kirkland & Ellis LLP and NautaDutilh are serving as legal counsel to McDermott. Credit Suisse is serving as the company's financial adviser and Alvarez & Marsal is serving as restructuring adviser.

PJT Partners is serving as financial adviser for an ad hoc group of McDermott's lenders and equity holders and Davis Polk & Wardwell LLP, Weil, Gotshal & Manges and Loyens & Loeff are serving as the ad hoc group's legal counsel.

FTI Consulting is serving as financing adviser for the steering committee of McDermott's bank lenders, and Linklaters LLP and Bracewell LLP are serving as the steering committee's legal counsel.