Borr Drilling Prices $260 Mln Notes At Approx $8 Conversion Price

(RTTNews) - Borr Drilling Ltd. (BORR), on Wednesday announced the pricing of $260 million aggregate principal amount of 3.50% convertible senior notes due 2033 in a private offering to qualified institutional buyers.

The offering is expected to close on or about April 17.

The initial conversion rate is set at 125.0000 shares per $1,000 principal amount, equivalent to an initial conversion price of approximately $8 per share.

The notes will bear interest at 3.5% per annum, payable semi-annually starting November 1, and will mature on May 1, 2033.

The company has granted initial purchasers an option to buy up to an additional $40 million of notes within a 13-day period to cover over allotments.

The notes will be convertible into common shares, cash, or a combination of both, at the company's election.

The company intends to use the proceeds to repurchase a portion of its existing 2028 convertible bonds and for general corporate purposes.

The company has agreed with certain holders to repurchase $195.2 million of its 2028 convertible bonds for $224.5 million, including accrued interest.

Borr Drilling closed trading, 4.36% lesser at $5.70 on the New York Stock Exchange.