Valaris Limited Announces Closing of $700 Million Private Placement of 8.375% Senior Secured Second Lien Notes Due 2030 and Availability of $375 Million Revolving Credit Facility
April 19 2023 - 4:30PM
Business Wire
Valaris Limited (NYSE: VAL) (“Valaris”) and its wholly-owned
subsidiary, Valaris Finance Company LLC, today announced the
closing of their private placement (the “Offering”) under Rule 144A
and Regulation S of the Securities Act of 1933, as amended (the
“Securities Act”), of $700 million in aggregate principal amount of
8.375% Senior Secured Second Lien Notes due 2030 (the “Second Lien
Notes”). Valaris is using a portion of the net proceeds from the
Offering to fund the previously announced redemption of all of its
outstanding Senior Secured First Lien Notes due 2028 (the “First
Lien Notes”) and intends to use the remainder of the net proceeds
for general corporate purposes. In connection with the closing of
the Offering, Valaris discharged its obligations under the
indenture governing the First Lien Notes.
In addition, the commitments under Valaris’ previously announced
senior secured five-year credit agreement (the “Credit Agreement”)
became available to be borrowed upon the closing of the Offering.
The Credit Agreement provides for commitments permitting borrowings
of up to $375 million and is (i) guaranteed by the same
subsidiaries that guarantee the Second Lien Notes and by Valaris
Finance Company LLC and (ii) secured on a first lien basis by the
same assets that secure the Second Lien Notes.
About Valaris Limited
Valaris Limited (NYSE: VAL) is the industry leader in offshore
drilling services across all water depths and geographies.
Operating a high-quality rig fleet of ultra-deepwater drillships,
versatile semisubmersibles, and modern shallow-water jackups,
Valaris has experience operating in nearly every major offshore
basin. Valaris maintains an unwavering commitment to safety,
operational excellence, and customer satisfaction, with a focus on
technology and innovation. Valaris Limited is a Bermuda exempted
company.
Cautionary Statement Regarding Forward-Looking
Statements
Statements contained in this press release that are not
historical facts are forward-looking statements within the meaning
of Section 27A of the Securities Act and Section 21E of the
Securities Exchange Act of 1934, as amended. Forward-looking
statements include words or phrases such as “anticipate,”
“believe,” “estimate,” “expect,” “intend,” “likely,” “plan,”
“project,” “could,” “may,” “might,” “should,” “will” and similar
words and specifically include statements regarding the Offering
and the use of proceeds therefrom and the Credit Agreement. The
forward-looking statements contained in this press release are
subject to numerous risks, uncertainties and assumptions that may
cause actual results to vary materially from those indicated. For
additional information regarding known material risks, you should
also carefully read and consider Valaris’ most recent annual report
on Form 10-K, which is available on the Securities and Exchange
Commission’s website at www.sec.gov. Each forward-looking statement
speaks only as of the date of the particular statement, and Valaris
undertakes no obligation to update or revise any forward-looking
statements, except as required by law.
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Investor & Media Contacts:
Darin Gibbins Vice President - Investor Relations and Treasurer
+1-713-979-4623
Tim Richardson Director - Investor Relations +1-713-979-4619
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