Commentary & Deal Flow

Borr IHC Limited/Borr Finance LLC (Borr Drilling Ltd) (BORR, BORRNO) US$2.035bn (up from US$1.65bn and US$1.6bn) 144A/Reg S sr sec 1st lien notes 2-part. B3/B+/B- (stable/stable/stable). Via Citi/Clarksons/DNB/GS jt glocos/JPM/BTGPAC/BTIG/Fearnley/SB1 Markets (Swedbank and Sparebank 1 investment bank jt venture) jt books. No reg rights. Settles 06/10 (T+10).

    - $1.1bn (down from $1.15bn, up from 850m and from $800m) due 01/15/32 (5.5y). NC2 (07/15/28) (MWC T+50bp), then at 104.375 07/15/28, 102.188 07/15/29, 100 07/15/30. Equity claw: 2y 40% at 108.75. Special call: 10% per year the first 2 years at 103. Amortization: 5.0% per annum at 102.5, payable semiannually starting with the second interest payment date. CoC at 101. Pays Jan 15 and July 15, starting 01/15/27. Denoms: 200kx1k. 144A CUSIP: 100018AC4; 144A ISIN: US100018AC46. IPT: low-mid 9s. $50m upsizze for GCP. Price talk: 8.875% area coupon, tight-end yield 9.03%, mid-point yield 9.16%. $300m upsize for GCP. Launched: $1.15bn 8.75% coupon to yield 9.033%. $50m downsize switched to the 7.5y tranche. Relaunched: $1.1bn 8.75% coupon to yield 9.033%. Priced: 8.75% at 100, 9.043% YTM, 9.033% YTW. STM +487bp vs 3.875% 04/30/31. STW +486bp vs 4.00% 02/31/31.

    - $935m (up from $885m and from $800m) due 01/15/34 (7.5y). NC3 (07/15/29) (MWC T+50bp), then at 104.50 07/15/29, 102.25 07/15/30, 100 07/15/31. Equity claw: 3y 40% at 109.00. Special call: 10% per year the first 3 years at 103. Amortization: 5.0% per annum at 102.5, payable semiannually starting with the second interest payment date. CoC at 101. Pays Jan 15 and July 15, starting 01/15/27. Denoms: 200kx1k. 144A CUSIP: 100018AD2; 144A ISIN: US100018AD29. IPT: +25bp vs the 5.5y tranche. Price talk: 9.125% area coupon, tight-end yield 9.29%, mid-point yield 9.43%. $85m upsize for GCP. $50m upsize switched from the 5.5y tranche. Launched: $885m 9.00% coupon to yield 9.302%. Relaunched: $935m 9.00% coupon to yield 9.302%. Priced: 9.00% at 100, 9.315% YTM, 9.302% YTW. STM+500bp vs 4.125% 04/30/33. STW +500bp vs 4.00% 01/31/33.

    Did investor call at 12:30pm 05/26. Books closed at 3:45pm (from 3:30pm, and 2pm) 05/27. (Originally pricing 05/28).  UOP: along with $19m cash on hand, to fund the tender for its existing $1.128bn 10% sr sec notes due 11/15/28 (T+50bp fixed spread tender; $55m total) and redeem $393m of its $771m 10.375% sr sec notes due 11/15/30 (at 106, $24m total), $50m upsize for GCP, and then t$385m upsize for GCP, including the redemption of existing debt. Biz: provides offshore drilling services. HQ: Hamilton, Bermuda.

Netroadshow direct link: https://www.netroadshow.com/events/login/1PeTHmohVhpPpksosOuJJm07HbJ9b5ldhgbWW