| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers O > Headlines for Oasis Petroleum Inc. > News item |
Distressed energy debt rallies on output cut hopes; healthcare convertibles underperform
By Paul Deckelman
New York, April 12 – A continued surge in world crude oil prices – on expectations that major global producers Saudi Arabia and Russia would agree on reining in their production and thus strengthening price levels – was giving a welcome boost to energy names on Tuesday.
Traders saw gains in active trading in junk bond credits such as Continental Resources, Inc., Whiting Petroleum Corp., Oasis Petroleum Inc. and California Resources Corp.
Another oil and natural gas issuer – Chesapeake Energy Corp. – was also strongly on the upside, helped by the overall energy strengthening and by its having negotiated favorable terms with its credit facility lenders.
The rally extended to Chesapeake’s convertible debt and that of producers such as Whiting, and to the emerging markets as well, helping the bonds and credit default swaps of such energy-dependent Latin American issuers as Brazil and Venezuela, and the latter’s state oil monopoly, Petroleos de Venezuela SA.
Away from the energy arena, Horizon Pharma plc’s convertibles fell along with the underlying shares on Tuesday after the Ireland-based pharmaceutical company lowered guidance for its first- and second-quarter sales and earnings forecasts, although full-year sales and earnings guidance was confirmed.
Traders were also watching Clovis Oncology Inc.’s convertibles, but neither the bonds nor the shares were traded for most of the session as shares were halted pending news. The biotechnology company was meeting with federal regulators Tuesday to discuss its New Drug Application for lung-cancer medication rociletinib.
© 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.