Nabors Announces Partial Redemption of 7.375% Senior Priority Guaranteed Notes Due in 2027
Rhea-AI Summary
Nabors Industries (NYSE: NBR) has announced the partial redemption of $150 million of its 7.375% Senior Priority Guaranteed Notes due in 2027. The redemption is scheduled for September 30, 2025, at a price of 101.844% of the principal amount plus accrued interest.
The debt reduction initiative follows the company's recent repayment of its revolving credit facility, which was previously used to repay the term loan from Parker Wellbore. The redemption will be funded using proceeds from the sale of Quail Tools, demonstrating Nabors' commitment to strategic debt reduction as a key value driver.
Positive
- Strategic debt reduction of $150 million demonstrates strong financial management
- Successful monetization of Quail Tools assets to fund debt repayment
- Previous repayment of revolving credit facility shows consistent debt reduction execution
Negative
- Premium payment of 1.844% above principal for early redemption
- Partial rather than full redemption of the 2027 notes indicates remaining debt burden
News Market Reaction
On the day this news was published, NBR gained 2.91%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Anthony G. Petrello, Nabors Chairman, President and CEO, commented, "The reduction of debt is one of our key value drivers. We are committed to using the proceeds from the sale of Quail Tools in our business to help accomplish that reduction. This redemption comes after we already repaid the outstanding balance on our revolving credit facility, which was drawn earlier to repay the term loan assumed from Parker Wellbore. The redemption marks another concrete step in this process."
About Nabors Industries
Nabors Industries (NYSE: NBR) is a leading provider of advanced technology for the energy industry. With presence in more than 20 countries, Nabors has established a global network of people, technology and equipment to deploy solutions that deliver safe, efficient and responsible energy production. By leveraging its core competencies, particularly in drilling, engineering, automation, data science and manufacturing, Nabors aims to innovate the future of energy and enable the transition to a lower-carbon world. Learn more about Nabors and its energy technology leadership: www.nabors.com.
Forward-looking Statements
The information included in this press release includes forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. Such forward-looking statements are subject to a number of risks and uncertainties, as disclosed by Nabors from time to time in its filings with the Securities and Exchange Commission. As a result of these factors, Nabors' actual results may differ materially from those indicated or implied by such forward-looking statements. The forward-looking statements contained in this press release reflect management's estimates and beliefs as of the date of this press release. Nabors does not undertake to update these forward-looking statements.
Investor Contacts: William C. Conroy, CFA, Vice President of Corporate Development & Investor Relations, +1 281-775-2423 or via e-mail william.conroy@nabors.com, or Kara K. Peak, Director of Corporate Development & Investor Relations, +1 281-775-4954 or via email kara.peak@nabors.com. To request investor materials, contact Nabors' corporate headquarters in
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SOURCE Nabors Industries Ltd.
FAQ
What is the amount of Nabors (NYSE: NBR) notes being redeemed in September 2025?
When is the redemption date for Nabors' 7.375% Senior Notes?
What is the redemption price for Nabors' 2027 notes?
How is Nabors funding the notes redemption?
What other debt has Nabors recently paid down?
