Anadarko Petroleum (NYSE:APC), who is a 25 percent partner in the Macondo oil well with BP (NYSE:BP), issued $2 billion in bonds on Monday. Arranging the sell were JPMorgan (NYSE:JPM) and Barclays Capital (NYSE:BCS).
Anadarko said the capital will be used to refinance existing bank debt, which is at about $1.3 billion.
The energy company will also drop a prior commitment to a $1.5 billion senior secured term loan facility.
The bonds will mature in seven years, with a yield of 6.375 percent, down from the asking price of $6.5 percent.
Moody's (NYSE:MCO) maintains a “Ba1" rating on Anadarko debt, which is considered to be speculative.
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