SeaDrill Ltd.’s stock was on track to suffer its biggest-ever one day loss Tuesday, as the oil drilling services company’s warning that bankruptcy may be imminent sent the stock plunging to a record low. The stock traded at an all-time low of $1 in morning trade, down 40% from Monday’s close. The stock’s record high close was $47.78 on Sept. 18, 2013. That would be the biggest percentage decline since the stock went public in September 2005, topping the previous record decline of 30% on Jan. 31, 2017. The selloff comes as the company announced a debt restructuring deal, which will likely result in shareholders receiving a “minimal recovery for their existing shares.” The stock has plummeted 71% year to date, while the SPDR Energy Select Sector ETF has lot 7.8% and the S&P 500 has gained 5.2%.
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