Pemex Contractor Prices Rig Debt

Mexican oil services provider Oro Negro has raised a $175m 2014 bond to partially finance a jackup rig, according to people familiar with the terms. The bond, issued through the Oro Negro Fortius entity, priced at par with an 8.70% coupon. The bond features an interest rate step-up of 300bp from February 2014 through the October 2014 maturity. Ultimate parent Integradora de Servicios Petroleros Oro Negro started operations in February 2012, with the purpose of becoming an integrated and diversified oil and gas services company offering services to Pemex, through the acquisition of assets and of companies with existing contracts. Pareto Securities was sole lead on the transaction, done under the 144a format and Norwegian law.