Odfjell Drilling completes refinancing
Oslo-listed semisub player Odfjell Drilling has completed its planned refinancing through the issuance of a secured bond and through amending, extending and securing bank facilities.
The move saw the company raise $390m via a significantly oversubscribed rated bond, secured against the Deepsea Aberdeen and Deepsea Atlantic rigs, maturing in May 2028 and bank loans of $497m, including a revolving credit of $175m.
The bank facility arrangements included an amended and extended $197m facility against the semisub Deepsea Nordkapp to January 2029, a $300m bank facility from existing and new commercial banks secured by the Deepsea Stavanger, and a $125 million term loan tranche.
Existing bank facilities have been prepaid and any material maturities have been removed until 2028, the operator of eight rigs said in a filing made to the Oslo Stock Exchange,
“The terms secured for the refinancing are favourable and facilitate the delivery of long-term, dependable capital generation from which the company can drive stakeholder value. Capital return to shareholders is a near-term focus and an updated shareholder distribution policy will be communicated together with the Q2 2023 results,” said Frode Skage Syslak, CFO at Odfjell Drilling.