Transocean Announces Plan to Issue Convertible Senior Notes and Senior Notes
HOUSTON--(BUSINESS WIRE)--Dec. 3, 2007--Transocean Inc. (NYSE:RIG)today announced that it intends to raise approximately $8.5 billionthrough concurrent public offerings of approximately $6 billion ofconvertible senior notes due 2037 (\"Convertible Notes\"), issuable inthree series (Series A, B and C), and $2.5 billion of senior notes due2013, 2018, and 2038 (together, the \"Senior Notes\"). In addition,Transocean may issue up to an additional $600 million of ConvertibleNotes upon exercise of an option to be granted to the underwriters.
Goldman, Sachs & Co. and Lehman Brothers Inc. are jointbookrunning managers for the Convertible Notes offering, Citi is ajoint bookrunning manager for the offering of Series A and CConvertible Notes and Credit Suisse is a joint bookrunning manager forthe offering of Series B Convertible Notes. Goldman, Sachs & Co. andLehman Brothers Inc. are joint bookrunning managers for the SeniorNotes offering, Citi is a joint bookrunning manager for the offeringof 2013 Senior Notes and JPMorgan is a joint bookrunning manager forthe offering of 2018 and 2038 Senior Notes.
Transocean intends to use the proceeds from the proposedofferings, together with $1.5 billion of borrowings under its new $1.5billion 364-day revolving credit facility, to repay a portion of theoutstanding borrowings under Transocean's $15.0 billion bridge loanfacility that were incurred to fund cash payments to shareholders inconnection with Transocean's recently completed reclassification ofits ordinary shares and merger with GlobalSantaFe Corporation.
The notes will be issued under a shelf registration statementfiled by Transocean with the Securities and Exchange Commission today,which became automatically effective.
This press release is neither an offer to sell nor a solicitationof an offer to buy the securities described herein, nor shall there beany sale of these securities in any jurisdiction in which such anoffer, solicitation or sale would be unlawful prior to registration orqualification under the securities laws of any such jurisdiction. Theoffering of these securities will be made only by means of aprospectus and related prospectus supplement. When available, copiesof the prospectus and related prospectus supplement in respect of anyof these securities may be obtained from Goldman, Sachs & Co., Attn:Prospectus Dept., 85 Broad St., New York, New York 10004, via fax at(212) 902-9316 or e-mail at firstname.lastname@example.org and LehmanBrothers Inc., c/o Broadridge Financial Services, IntegratedDistribution Services, 1155 Long Island Avenue, Edgewood, NY 11717,fax (631) 254-7140 or by e-mail at email@example.com.
Transocean Inc. is the world's largest offshore drillingcontractor and the leading provider of drilling management servicesworldwide. With a fleet of 140 mobile offshore drilling units pluseight ultra-deepwater units under construction, the company's fleet isconsidered one of the most modern and versatile in the world due toits emphasis on technically demanding segments of the offshoredrilling business. The company owns or operates a contract drillingfleet of 39 High-Specification Floaters, 29 Other Floaters, 68 Jackupsand four other assets utilized in the support of offshore drillingactivities worldwide. With a current equity market capitalization inexcess of $43 billion, Transocean Inc.'s ordinary shares are traded onthe New York Stock Exchange under the symbol \"RIG.\"
Statements included in this news release regarding borrowingsunder the company's 364-day revolving credit facility and the timing,amounts, use of proceeds and other aspects of the proposed offerings,are forward-looking statements that involve certain assumptions. Thesestatements involve risks and uncertainties including, but not limitedto, market conditions, closing conditions, Transocean's results ofoperations and other factors detailed in Transocean's filings with theSecurities and Exchange Commission. Should one or more of these risksor uncertainties materialize (or the other consequences of such adevelopment worsen), or should underlying assumptions prove incorrect,actual outcomes may vary materially from those forecasted or expected.Transocean disclaims any intention or obligation to update publicly orrevise such statements, whether as a result of new information, futureevents or otherwise.
CONTACT: Transocean Inc., Houston
Gregory S. Panagos, 713-232-7551
Guy A. Cantwell, 713-232-7647
SOURCE: Transocean Inc.