Transocean Inc, a fully-owned affiliate of offshore drilling giant Transocean Ltd. (RIG - Free Report) , announced the pricing of senior unsecured notes worth $1.25 billion for a public offering. These notes are due to mature by 2023.
The Transocean unit offered Senior Notes carrying an interest rate of 9%. The offering is slated to close on Jul 21, 2016. The net proceeds are expected to be around $1.21 billion after removing purchase discounts and offering costs.
The subsidiary plans to utilize a part of the offering’s net proceeds to fund tender offers to buy 6.500% Senior Notes due 2020, 6.375% Senior Notes due 2021 and 3.800% Senior Notes due 2022 for cash up to $1.0 billion. A portion of the net proceeds will also be utilized for refinancing debt and for general corporate activities.
Switzerland-based Transocean is the world’s largest offshore drilling contractor and leading provider of drilling management services. The company offers unmatched levels of earnings and cash flow visibility, given its technologically advanced and versatile offshore drilling fleet, strong backlog and considerable pricing power.
Moreover, the company’s strong backlog, which now stands at an industry-leading $14.6 billion, not only reflects steady demand from its customers but also offers an unmatched level of earnings and cash flow visibility.
As a result, Transocean currently carries a Zacks Rank #2 (Buy), implying that it will outperform the broader U.S. equity market over the next one to three months.
Other players in the Oil and Gas Drilling sector that warrant a look include IndependenceContract Drilling, Inc. (ICD - Free Report) , North Atlantic Drilling Limited and Ocean Rig UDW LLC . While Independence Contract Drilling and North Atlantic Drilling sport a Zacks Rank #1 (Strong Buy), Ocean Rig holds the same Zacks Rank as Transocean.
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From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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Transocean Inc, a fully-owned affiliate of offshore drilling giant Transocean Ltd. (RIG - Free Report) , announced the pricing of senior unsecured notes worth $1.25 billion for a public offering. These notes are due to mature by 2023.
The Transocean unit offered Senior Notes carrying an interest rate of 9%. The offering is slated to close on Jul 21, 2016. The net proceeds are expected to be around $1.21 billion after removing purchase discounts and offering costs.
The subsidiary plans to utilize a part of the offering’s net proceeds to fund tender offers to buy 6.500% Senior Notes due 2020, 6.375% Senior Notes due 2021 and 3.800% Senior Notes due 2022 for cash up to $1.0 billion. A portion of the net proceeds will also be utilized for refinancing debt and for general corporate activities.
Switzerland-based Transocean is the world’s largest offshore drilling contractor and leading provider of drilling management services. The company offers unmatched levels of earnings and cash flow visibility, given its technologically advanced and versatile offshore drilling fleet, strong backlog and considerable pricing power.
Moreover, the company’s strong backlog, which now stands at an industry-leading $14.6 billion, not only reflects steady demand from its customers but also offers an unmatched level of earnings and cash flow visibility.
As a result, Transocean currently carries a Zacks Rank #2 (Buy), implying that it will outperform the broader U.S. equity market over the next one to three months.
Other players in the Oil and Gas Drilling sector that warrant a look include IndependenceContract Drilling, Inc. (ICD - Free Report) , North Atlantic Drilling Limited and Ocean Rig UDW LLC . While Independence Contract Drilling and North Atlantic Drilling sport a Zacks Rank #1 (Strong Buy), Ocean Rig holds the same Zacks Rank as Transocean.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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