Precision Drilling Corporation Announces Closing of Offering of US$400,000,000 of 6.875% Senior Notes Due 2029 and Redemption...
June 15 2021 - 11:35AM
Precision Drilling Corporation (“Precision” or the “Company”)
announced today the closing of its previously announced private
offering of US$400 million aggregate principal amount of 6.875%
Senior Notes due 2029 (the “Notes”), issued at a price equal to
99.253% of the face value, in a transaction that was exempt from
the registration requirements of the U.S. Securities Act of 1933,
as amended (the “Securities Act”). The Notes are guaranteed on a
senior unsecured basis by current and future U.S. and Canadian
subsidiaries of Precision that also guarantee Precision’s revolving
credit facility and certain other future indebtedness. As
previously announced, Precision will use the net proceeds from the
offering, together with unutilized capacity under its revolving
credit facility to: (i) redeem in full US$286 million aggregate
principal amount of its 7.750% Senior Notes due 2023 (the “2023
Notes”) and (ii) redeem in full US$263 million aggregate principal
amount of its 5.250% Senior Notes due 2024 (“2024 Notes”). The
redemption of the 2023 Notes and 2024 Notes will occur on June 16,
2021 and interest will cease to accrue on the 2023 Notes and 2024
Notes on that date.
The Notes and the related guarantees were
offered only to persons reasonably believed to be qualified
institutional buyers in reliance on the exemption from registration
set forth in Rule 144A under the Securities Act, and outside the
United States to non-U.S. persons in reliance on the exemption from
registration set forth in Regulation S under the Securities Act.
The Notes and the related guarantees have not been registered under
the Securities Act, or the securities laws of any state or other
jurisdiction, and may not be offered or sold in the United States
without registration or an applicable exemption from the Securities
Act and applicable state securities or blue sky laws and foreign
securities laws.
This news release shall not constitute an offer
to sell or the solicitation of an offer to buy, any securities, nor
shall there be any sales of the Notes in any jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
jurisdiction.
About PrecisionPrecision is a leading provider
of safe and environmentally responsible High Performance, High
Value services to the energy industry, offering customers access to
an extensive fleet of Super Series drilling rigs. Precision has
commercialized an industry-leading digital technology portfolio
known as “Alpha” that utilizes advanced automation software and
analytics to generate efficient, predictable, and repeatable
results for energy customers. Additionally, Precision offers well
service rigs, camps and rental equipment and directional drilling
services all backed by a comprehensive mix of technical support
services and skilled, experienced personnel.
Precision is headquartered in Calgary, Alberta,
Canada and is listed on the Toronto Stock Exchange under the
trading symbol “PD” and on the New York Stock Exchange under the
trading symbol “PDS.”
For further information, please contact:
Carey Ford, Senior Vice President & Chief Financial
Officer713.435.6100
800, 525 - 8th Avenue S.W. Calgary, Alberta, Canada T2P 1G1
Website: www.precisiondrilling.com
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