By Andrea Heisinger
New York, March 30 - Weatherford International (Bermuda) Ltd. sold $1.3 billion of senior notes (Baa2/BBB/) in two parts on Friday, an informed source said.
The $750 million of 4.5% 10-year notes sold at 99.855 to yield 4.518% with a spread of Treasuries plus 230 basis points. The tranche has a make-whole call at 35 bps over Treasuries until Jan. 15, 2022 and a par call after that date.
There was also a $550 million tranche of 5.5% 30-year bonds sold at 99.291 to yield 6.001% with a spread of Treasuries plus 265 bps. There's a make-whole call at Treasuries plus 40 bps until Oct. 17, 2041 and a par call after.
The notes feature a change-of-control put at 101%.
J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC were the active bookrunners. Passive bookrunners were Citigroup Global Markets Inc. and Deutsche Bank Securities LLC.
Co-managers were UBS Securities LLC, Goldman Sachs & Co., Wells Fargo Securities LLC, Credit Agricole Securities (USA) Inc., DNB Markets, Inc., RBC Capital Markets, LLC, RBS Securities Inc., Mitsubishi UFJ Securities (USA) Inc., Barclays Capital Inc., SunTrust Robinson Humphrey, Inc., Standard Chartered Bank, UniCredit Capital Markets LLC and HSBC Securities (USA) Inc.
Proceeds will be used to repay existing short-term debt under a commercial paper program and for general corporate purposes.
The notes are guaranteed by Weatherford International Ltd. and Weatherford International Inc.
Weatherford was last in the market with a $1.4 billion deal of 10- and 30-year notes on Sept. 16, 2010. The 5.125% 10-year notes from that deal sold at 237.5 bps over Treasuries and a 6.75% 30-year bond at 285 bps over Treasuries.
The oilfield services company is based in Geneva, Switzerland.
| Issuer: | Weatherford International (Bermuda) Ltd.
|
| Guarantors: | Weatherford International Ltd., Weatherford International Inc.
|
| Issue: | Senior notes
|
| Amount: | $1.3 billion
|
| Bookrunners: | J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC (active), Citigroup Global Markets Inc., Deutsche Bank Securities LLC (passive)
|
| Co-managers: | UBS Securities LLC, Goldman Sachs & Co., Wells Fargo Securities LLC, Credit Agricole Securities (USA) Inc., DNB Markets, Inc., RBC Capital Markets, LLC, RBS Securities Inc., Mitsubishi UFJ Securities (USA) Inc., Barclays Capital Inc., SunTrust Robinson Humphrey, Inc., Standard Chartered Bank, UniCredit Capital Markets LLC, HSBC Securities (USA) Inc.
|
| Change-of-control put: | 101%
|
| Trade date: | March 30
|
| Settlement date: | April 4
|
| Ratings: | Moody's: Baa2
|
| Standard & Poor's: BBB
|
|
|
| 10-year notes
|
| Amount: | $750 million
|
| Maturity: | April 15, 2022
|
| Coupon: | 4.5%
|
| Price: | 99.855
|
| Yield: | 4.518%
|
| Spread: | Treasuries plus 230 bps
|
| Call: | Make-whole at Treasuries plus 35 bps until Jan. 15, 2022, par call after
|
|
|
| 30-year bonds
|
| Amount: | $550 million
|
| Maturity: | April 15, 2042
|
| Coupon: | 5.95%
|
| Price: | 99.291
|
| Yield: | 6.001%
|
| Spread: | Treasuries plus 265 bps
|
| Call: | Make-whole at Treasuries plus 40 bps until Oct. 17, 2041, par call after
|
© 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.
