By Paul A. Harris
Portland, Ore., March 21 – Kosmos Energy Ltd. priced an upsized $650 million issue of seven-year senior notes (expected ratings BB-/BB) at par to yield 7 1/8% on Thursday, according to market sources.
The issue size was increased from $600 million.
The yield printed at the tight end of yield talk in the 7¼% area but on the wide end of initial talk in the 7% area, a trader said.
The deal was heard to be playing to a mix of high-yield and emerging markets accounts, sources said.
Citigroup Global Markets Inc., SG CIB and Standard Chartered Bank were joint bookrunners.
The Dallas-based independent oil and gas exploration and production company plans to use the proceeds to redeem all $525 million of its outstanding 7 7/8% senior secured notes due 2021 and to pay down its revolving credit facility.
Kosmos Energy has operations in Ghana, Equatorial Guinea, U.S. Gulf of Mexico, Mauritania, Senegal, Suriname, Ivory Coast, Namibia and elsewhere.
| Issuer: | Kosmos Energy Ltd.
|
| Amount: | $650 million, increased from $600 million
|
| Tenor: | Seven years
|
| Securities: | Senior notes
|
| Bookrunners: | Citigroup Global Markets Inc., SG CIB and Standard Chartered Bank
|
| Coupon: | 7 1/8%
|
| Price: | Par
|
| Yield: | 7 1/8%
|
| Call protection: | Three years
|
| Trade date: | March 21
|
| Settlement date: | April 4
|
| Expected ratings: | S&P: BB-
|
| Fitch: BB
|
| Distribution: | Rule 144A and Regulation S
|
| Price talk: | 7¼% area
|
| Marketing: | Roadshow
|
© 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.
