Noble Corporation closed a new $350 million secured term loan with a syndicate of banks. According to an 8K filed with the SEC, DNB Capital, JPMorgan Chase, Nykredit Bank, Clifford Capital, Barclays Bank, Danske Bank, HSBC Bank, Nordea Bank and Morgan Stanely Senior Funding are mandated leader arrangers and bookrunners for the facility, with DNB Markets serving as coordinator and DNB Bank serving as agent and security agent.
The new loan has a three-year maturity and an initial interest rate of term SOFR plus 3.5%, with margin increases beginning in year two. Additionally, Noble paid down and terminated its legacy Maersk Drilling syndicated revolving credit facility and term loan, which had approximately $460 million outstanding, using proceeds from the new syndicated term loan and cash on hand.
“We are pleased to have completed the refinancing of the syndicated bank facilities with a new term loan, which affords us significant financial flexibility,” Robert W. Eifler, president and CEO of Noble, said. “We appreciate the strong support from our bank group and remain encouraged by the outlook for our business as we head into 2023.”