John Fredricksen’s Seadrill has privately negotiated an exchange agreement with certain holders of its outstanding 5-5/8% senior notes due 2017.
Under the agreement, the company will issue a total of 8,184,340 new shares of its common stock in exchange for $55m principal amount of the 2017 Notes. Settlement is expected to occur on May 20, 2016.
Last month Seadrill adjusted several of its loan agreements with lenders in order to refinance its business and insulate itself from declines in asset values.
