Moody's: Drill Rigs notes B2, view negative

Moody's Investors Service said it assigned a prospective B2 rating to the new $750 million senior secured notes to be issued by Drill Rigs Holdings Inc., a subsidiary of Ocean Rig UDW Inc.

Moody's said it also upgraded the group's probability of default rating to B2, in-line with the B2 corporate family rating. The agency also upgraded the rating on the $500 million senior unsecured notes to Caa1.

The outlook was revised from negative to stable.

The agency said the rating actions follow the announcement by Ocean Rig of a planned debt refinancing.

Moody's said the affirmation of the corporate family rating at B2, reflects the improvements in Ocean Rig's business profile, a continued strong ultra-deepwater market and improved liquidity after the refinancing, mitigated by very high current adjusted gross leverage of nearly 7x and higher than expectations.

© 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.