SandRidge Energy Inc. on Monday filed a Chapter 11 bankruptcy reorganization plan designed to address $4.1 billion in debt.

Holders of more than two-thirds of the company's debt have agreed to the plan the Oklahoma City-based oil and natural gas production company filed Monday in U.S. Bankruptcy Court in Houston.

Under terms of the deal, SandRidge common stock would have no value and about $3.7 billion in debt would be converted to stock in the new, reorganized company. Another $425 million in debt would be in the form of loan with unproduced oil and natural gas used as collateral.

"We are pleased that our creditors recognize the long-term value SandRidge and its employees can create with an improved balance sheet," SandRidge CEO James Bennett said in a statement. "The new capital structure will allow the company to concentrate on oil and gas exploration and development in our active Oklahoma and Colorado project areas. We look forward to completing this next phase of the process quickly with minimal disruption to our business."