Nabors completes redemption of $210 million 9% priority notes due 2025

By William Gullotti

Buffalo, N.Y., March 7 – Nabors Industries Ltd. reported that subsidiary Nabors Industries, Inc. has completed the redemption of about $210 million of 9% senior priority guaranteed notes due February 2025 in a press release on Tuesday.

The redemption was funded with proceeds from the company’s upsized $250 million issue of 1.75% exchangeable senior unsecured notes due June 15, 2029.

With the issuance and subsequent redemption complete, Nabors will benefit from an annual interest savings of roughly $16 million while effectively extending the maturity of about $210 million of debt for an additional four years.

The transaction also increases the company’s capacity in the senior priority guaranteed debt layer by the same total.

William Restrepo, chief financial officer of Nabors, was quoted in the release saying, “This transaction is an important milestone as we enhance our financial flexibility. Proactive management of our debt is a key element in our strategy to de-lever. The benefits are tangible, and should accrue to investors across our capital structure.”

Nabors is a Hamilton, Bermuda-based oil and gas drilling contractor.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.