Noble prices $1.2 billion senior notes offering

Noble Corp. subsidiary Noble Holding International Ltd. has priced its $1.2 billion offering of senior unsecured notes in three separate tranches, with $300 million of 2.50% senior notes due 2017, $400 million of 3.95% senior notes due 2022 and $500 million of 5.25% senior notes due 2042.

The weighted average coupon of all three tranches is 4.13%. Noble will fully and unconditionally guarantee the notes on a senior unsecured basis.

The company intends to use estimated net proceeds of about $1.19 billion to repay indebtedness outstanding under Noble-Cayman’s revolving credit facilities and for general corporate purposes, including the company’s capital expenditure program.

Pending the application of funds from the offering, the net proceeds are expected to be invested in U.S. government obligations, bank deposits or other secure, short-term investments.

Barclays Capital Inc., HSBC Securities (USA) Inc., SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC are acting as the book-running managers.

Credit Suisse Securities (USA) LLC, BNP Paribas Securities Corp., Mitsubishi UFJ Securities (USA) Inc., Merrill Lynch Pierce Fenner & Smith Inc., Deutsche Bank Securities Inc., DNB Markets Inc., Goldman, Sachs & Co., Lloyds Securities Inc. and Standard Chartered Bank are serving as co-managers.

Source: Noble Corp.