S&P assigns B- to Transocean notes

S&P said it assigned its B- issue-level rating and 1 recovery rating to Transocean Inc.'s planned $1.175 billion of senior secured notes due 2030. The 1 recovery rating indicates very high (90%-100%; rounded estimate: 95%) recovery in default.

“The proposed note offering begins to simplify the capital structure by refinancing and consolidating four existing senior secured issues, while alleviating near-term pressure on liquidity by extending the debt maturity profile. The proposed notes will be secured by the same five rigs as the existing notes (Deepwater Thalassa, Deepwater Proteus, Deepwater Pontus, Transocean Encourager, and Transocean Enabler),” S&P said in a press release.

Parent Transocean Ltd. will also guarantee the notes that will benefit from limited guarantees from each collateral rig-owning subsidiary up to the redeemed amounts of each issue.

Concurrently, S&P affirmed the B- issue-level rating on Transocean's existing secured debt, including its secured credit facility, the CCC+ issue-level rating on its super-priority unsecured senior notes with subsidiary guarantees, the CCC+ issue-level rating on its priority unsecured senior notes with subsidiary guarantees, and the CCC issue-level rating on its unsecured debt without guarantees and the unsecured debt issued by Global Marine Inc.,” the agency said.

© 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.