Sable Offshore Corp. announced plans to raise up to $400 million through concurrent public offerings of common stock and convertible senior notes as the offshore…
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Sable Offshore Corp. announced plans to raise up to $400 million through concurrent public offerings of common stock and convertible senior notes as the offshore energy company moves to refinance existing debt and strengthen its balance sheet.
The company intends to offer $100 million of common stock alongside $300 million in convertible senior notes due 2031. Underwriters will have 30-day options to purchase up to an additional $15 million of common stock and $45 million in notes to cover over-allotments.
The proceeds from the offerings, together with funding from a previously announced new senior secured term loan, will be used primarily to repay Sable's existing senior secured term loan with Exxon Mobil Corp., as well as cover transaction costs and support general corporate purposes.
The three financing transactions are cross-conditioned, meaning each will close only if all are successfully completed.
The convertible notes will be senior unsecured obligations maturing July 1, 2031, unless earlier redeemed, repurchased or converted. Interest will be paid semiannually, while key terms—including the interest rate and conversion price—will be determined when the offering is priced.
Sable will have
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