Transocean Ltd. Announces Pricing U.S. $1.25 Billion Of Notes Due 2023
July 08 2016 - 6:32AM
ZUG, SWITZERLAND - July 8, 2016 - Transocean Ltd.
(NYSE: RIG) announced today that Transocean Inc., its wholly-owned
subsidiary (collectively with Transocean Ltd., "Transocean"), has
priced its previously-announced offering of senior unsecured notes.
Transocean will issue U.S. $1.25 billion in aggregate principal
amount of senior unsecured notes due 2023 pursuant to Rule
144A/Regulation S to eligible purchasers. The notes will be
guaranteed by Transocean Ltd. and certain of Transocean Inc.'s
subsidiaries.
The notes will bear interest at the rate of 9.00% per annum and
will be callable on or after July 15, 2020. The offering is
expected to close on or about July 21, 2016, subject to customary
closing conditions. Transocean expects to receive aggregate net
proceeds of approximately U.S. $1.21 billion from the offering,
after deducting the initial purchasers' discounts and estimated
offering costs.
Transocean intends to use a portion of the net proceeds from the
offering to fund its previously-announced tender offers to purchase
for cash up to U.S. $1.0 billion aggregate principal amount of its
6.500% Senior Notes due 2020, 6.375% Senior Notes due 2021 and
3.800% Senior Notes due 2022 (collectively, the "Existing Notes"),
subject to the terms and conditions specified in the related offer
to purchase, and a portion of the net proceeds from the offering
are intended to be used to refinance existing indebtedness and for
general corporate purposes. Should the tender offers not be
consummated, or if net proceeds allocated to fund the tender offers
remain following consummation of the tender offers, Transocean Inc.
intends to also use such net proceeds to refinance existing
indebtedness and for general corporate purposes.
The securities to be offered have not been and will not be
registered under the U.S. Securities Act of 1933, as amended (the
"Securities Act"), or any state securities laws and may not be
offered or sold in the United States except pursuant to an
exemption from, or in a transaction not subject to, the
registration requirements of the Securities Act and applicable
state securities laws. The securities to be offered may not be
publicly offered, sold or advertised, directly or indirectly, in
Switzerland. This press release shall not constitute an offer to
sell or a solicitation of an offer to buy any of these securities
in the United States, shall not constitute an offer, solicitation
or sale of any securities in any jurisdiction where such offering
or sale would be unlawful and does not constitute an offering
prospectus within the meaning of article 652a or article 1156 of
the Swiss Code of Obligations. This press release shall not
constitute an offer to purchase the Existing Notes. The tender
offers are being made only pursuant to the offer to purchase. This
press release contains information about pending transactions, and
there can be no assurance that these transactions will be
completed. Any public offering of Transocean's securities in the
United States will be made only by means of a prospectus that will
contain detailed information about Transocean and its management,
as well as financial statements. There shall not be any sale of
these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of such
jurisdiction.
About Transocean
Transocean is a leading international provider of offshore contract
drilling services for oil and gas wells. The company specializes in
technically demanding sectors of the global offshore drilling
business with a particular focus on deepwater and harsh environment
drilling services, and believes that it operates one of the most
versatile offshore drilling fleets in the world.
Transocean owns or has partial ownership interests in, and operates
a fleet of, 60 mobile offshore drilling units consisting of 29
ultra-deepwater floaters, seven harsh-environment floaters, four
deepwater floaters, 10 midwater floaters, and 10 high-specification
jackups. In addition, the company has five ultra-deepwater
drillships and five high-specification jackups under
construction.
Forward-Looking Statements
This news release contains certain forward-looking information and
forward-looking statements as defined in applicable securities laws
(collectively referred to as "forward-looking statements").
Forward-looking statements include statements regarding Transocean
Inc.'s plans to issue notes and use the proceeds to fund the tender
offers.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors, which may cause the actual
results, performance or achievements of Transocean to be materially
different from any future results, performance or achievements
expressed or implied by the forward-looking statements. Factors
that may cause actual results to vary include, but are not limited
to, risks relating to the closing of Transocean Inc.'s offering of
the notes, conditions in financial markets, investor response to
Transocean Inc.'s offering of notes and the tender offers, and
other risk factors as detailed from time to time in Transocean
Ltd.'s reports filed with the U.S. Securities and Exchange
Commission.
Readers are cautioned against unduly relying on forward-looking
statements. Forward-looking statements are made as of the date of
the relevant document and, except as required by law, Transocean
undertakes no obligation to update publicly or otherwise revise any
forward-looking statements, whether as a result of new information
or future events or otherwise.
Analyst Contacts:
Bradley Alexander
+1 713-232-7515
Diane Vento
+1 713-232-8015
Media Contact:
Pam Easton
+1 713-232-7647
This
announcement is distributed by NASDAQ OMX Corporate Solutions on
behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Transocean Ltd via Globenewswire
HUG#2027402
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