Chesapeake Energy Corporation

In 1989, Aubrey McClendon and Tom L. Ward launched Chesapeake Energy with a modest $50,000 initial investment. They pioneered the use of horizontal drilling and hydraulic fracturing, unlocking vast reserves of natural gas from unconventional shale formations. This strategy fueled rapid growth, and by 1993, the company went public with a valuation of $25 million. Chesapeake's trajectory was a series of booms and busts. It became a giant in the energy markets, at one point reaching a valuation of over $37 billion before the 2008 financial crisis caused energy prices to plummet. The company's high debt load became a persistent issue. In June 2020, facing $9 billion in debt, Chesapeake filed for Chapter 11 bankruptcy. The company emerged from bankruptcy in February 2021, having shed approximately $7.7 billion in debt and with a renewed focus on natural gas. This set the stage for a significant comeback. In January 2024, Chesapeake announced a transformative $7.4 billion all-stock merger with Southwestern Energy. The deal, expected to close in late 2024, is set to create the largest natural gas producer in the United States, positioning the newly combined entity as a major player in supplying both domestic and international markets.