By Paul A. Harris
Portland, Ore., April 4 – Noble Corp. plc priced a $600 million issue of Noble Finance II LLC seven-year senior notes (B2/BB-/BB-) at par to yield 8% on Tuesday, according to market sources.
The yield printed 25 basis points through the 8¼% to 8½% yield talk. Earlier guidance was 8 5/8% to 8 7/8%.
The deal was heard to have played to $4.1 billion of demand, a sellside source said.
J.P. Morgan Securities LLC managed the notes sale.
Proceeds will be used to fund the redemption of subsidiary Noble Finance Co.’s 11%/13%/15% senior secured PIK toggle notes due 2028 and to repay the outstanding borrowings under the $350 million term loan facility borrowed by subsidiary Drilling Co. of 1972 A/S.
The remainder of proceeds, if any, will be used for general corporate purposes.
Noble is an offshore drilling contractor organized in London.
| Issuer: | Noble Finance II LLC
|
| Amount: | $600 million
|
| Securities: | Senior notes
|
| Maturity: | April 15, 2030
|
| Bookrunner: | J.P. Morgan Securities LLC
|
| Coupon: | 8%
|
| Price: | Par
|
| Yield: | 8%
|
| Spread: | Treasuries plus 460 bps
|
| First call: | April 15, 2026 at 104
|
| Trade date: | April 4
|
| Settlement date: | April 18
|
| Ratings: | Moody's: B2
|
| S&P: BB-
|
| Fitch: BB-
|
| Distribution: | Rule 144A and Regulation S
|
| Marketing: | Roadshow
|
| Price talk: | 8¼% to 8½%
|
|
|
© 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.
