Nabors slides on pricing $225 mln notes deal

Nabors Industries

10/02/2023 12:14

** Shares of Nabors Industries Ltd  NBR.N  down 10.7% at
$155 premarket after drilling rig provider raises capital
    ** NBR on course for biggest one-day pct drop since Sept 23,
if loss holds
    ** Nabors prices $225 mln 1.75% 6-yr senior unsecured notes
    ** Deal size increased from $200 mln
    ** Conversion price of $212.51 represents 22.5% premium to
stock's last close
    ** Co plans to use net proceeds to redeem all of its
outstanding 9.00% senior guaranteed notes due Feb 2025,
remainder for general purposes, including debt repayment
    ** Co has $1.6 bln market cap, per Refinitiv
    ** On Tues, co reported Q4 rev of $760 mln, topping
Refinitiv consensus of $747 mln, and forecasted 2023 adj free
cash flow of at least $400 mln
    ** NBR shares up 12% YTD and up ~46% over the past 12 months
    ** Avg rating among 10 analysts is "hold"; median PT of $210
up from $189 a month ago - Refinitiv
 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))