Brazil’s Petrobras to raise bonds to buyback existing debt

Brazilian state owned oil & gas explorer Petrobras is planning to issue new bonds to buy back $3.5bn of its existing debt.

The company plans on buying back $576m of its outstanding bonds paying 8.375% due 2018 at a small premium.

Further, the company plans on issuing a waterfall tender to purchase up to $3bn of existing debt due next year.

The purchase offer expires on 14 June 2016.

Petrobras has about $13.2bn of debt maturing this year and c.$28.5bn due in the next two years.

Sources: WSJ