Pacific Drilling has announced that a special purpose wholly owned subsidiary of the company intends to offer $700m of senior secured notes with a maturity of five years.
The notes are being offered in connection with the restructuring of Pacific Drilling as part of the company’s reorganisation plan filed with the U.S. Bankruptcy Court.
The net proceeds from the offering will be used to fund a portion of the payments to creditors.
Last month, Pacific Drilling’s reorganisation plan received full support from the company’s majority shareholder, Quantum Pacific, and the company expected a smooth confirmation process and a quick emergence from chapter 11.
Pacific Drilling currently operates a fleet of seven drillships with an average age of six years.
