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Tullow Oil PLC - Africa and South America-focused oil and gas exploration company - Announces results of its offer to purchase a portion of its outstanding $800.0 million 7.0% senior notes due 2025. Company increases the tender consideration to $100 million. The final acceptance amount is $166.5 million. Company will use around $100.0 million of cash on its balance sheet to fund the purchase of $166.5 million. The transaction will deliver value accretion of $86.3 million. Chief Executive Richard Miller says: ‘This transaction, which demonstrates our confidence in the business, is an important step in addressing our debt maturities. We have reduced gross debt by $266 million this year through this transaction and the annual amortisation of the 2026 Notes, and we have accelerated our deleveraging trajectory. We continue to progress a range of options to address the remainder of the 2025 notes, and with the start-up of the Jubilee South East development around mid-year we will generate material free cash flow in the second half of the year and beyond.’ Current stock price: 27.30 pence, closing 7.5% higher on Monday in London 12-month change: down 46% Copyright 2023 Alliance News Ltd. All Rights Reserved.
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