- Paragon Offshore, the spinoff of offshore drilling contractor Noble Corp. (NYSE:NE -1.2%), says it plans to issue $1.2B in private debt, using the proceeds to pay a portion of debt it expects NE to issue the new company as part of the spinoff.
- Paragon will own and operate the majority of NE’s standard specification drilling business, while the remaining company will focus on running NE’s modern, high-tech assets and will concentrate on deepwater and ultra-deepwater operations.
- NE announced the spinoff last September and suggested it could issue up to 20% of the shares in the new company through an IPO, but in April the companies scrapped that plan and instead decided to simply distribute shares of Paragon to existing NE shareholders without an IPO.