What is the purpose of this tender offer?

The tender offer allows SLB's subsidiary to repurchase its outstanding 3.300% Senior Notes due 2021. This is a common strategy for companies to manage their debt, potentially reduce interest expenses, or optimize their capital structure.

How will the purchase price for the notes be determined?

The price will be determined based on the applicable fixed spread for the notes plus the yield derived from the bid-side price of the applicable U.S. Treasury Reference Security at a specific time on the expiration date (June 23, 2020). Holders will also receive accrued interest.

When will investors receive payment if they tender their notes?

The anticipated settlement date, when payment for accepted notes is expected to be made, is June 26, 2020.

Are there any risks associated with tendering notes?

Investors should consult the official tender offer documents for a full list of terms, conditions, and risks. The offer price is subject to market conditions at the expiration of the offer. Additionally, the filing includes forward-looking statements with inherent uncertainties and risks that could affect actual outcomes.

SLB 8-K: Regulation FD — Jun 17, 2020

Summary

SLB Limited/NV (SLB) announced on June 17, 2020, that its indirect wholly-owned subsidiary, Schlumberger Investment SA, has launched a cash tender offer for all of its outstanding 3.300% Senior Notes due 2021. This move suggests a potential effort by the company to manage its debt obligations and capital structure. Investors should note that the tender offer has specific terms and conditions outlined in the offer to purchase documents and will expire on June 23, 2020, unless extended. The consideration for tendered notes will be determined based on a fixed spread plus the yield of U.S. Treasury Reference Securities on the expiration date, along with accrued interest. The expected settlement date for accepted notes is June 26, 2020. This proactive debt management strategy, especially during uncertain economic times, could be a significant factor for investors assessing SLB's financial health and strategic direction.

Key Highlights

1SLB subsidiary launched a cash tender offer for its 3.300% Senior Notes due 2021.
2The offer is for 'any and all' outstanding notes.
3Tender offer expiration date is June 23, 2020, unless extended.
4Consideration for tendered notes will be based on market yields and a fixed spread.
5Accrued interest will be paid on accepted notes.
6Expected settlement date for the tender offer is June 26, 2020.
7The announcement was made via a press release filed as an exhibit to the 8-K.

SLB LIMITED/NV 8-K Report, Regulation FD Disclosure (Jun 17, 2020)

Summary

Key Highlights

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