Bristow Group Inc. has begun a private offering of $400 million in senior secured notes due 2033, sold to qualified institutional buyers under Rule 144A and Regulation S and fully guaranteed by the company’s domestic and foreign subsidiaries.
Proceeds from the offering will be deposited with a trustee to redeem the company’s outstanding 6.875% senior secured notes due 2028 on March 1, 2026, eliminating $397 million of debt that was outstanding as of September 30, 2025.
The new notes are secured by first‑priority liens on a portfolio of approximately 70 helicopters and other tangible and intangible assets, providing robust collateral for investors.
By extending the debt maturity from 2028 to 2033, the refinancing reduces near‑term refinancing risk and is expected to lower interest costs, supporting Bristow’s goal of reducing gross debt to $500 million by the end of 2026.
The transaction aligns with Bristow’s broader capital allocation strategy, which includes a $125 million share repurchase program and a quarterly dividend beginning in 2026, and underpins fleet‑modernization plans such as the acquisition of 10 AW189 helicopters and expansion of its government‑services portfolio.
Management highlighted the refinancing as a key step to strengthen the balance sheet and free cash flow for strategic investments, noting that the company’s debt‑reduction target and improved leverage position will enhance long‑term financial flexibility.
Credit agencies have assigned the new notes a BB issue‑level rating and a recovery rating of 1 (S&P) and RR2 (Fitch), reflecting a solid recovery outlook for investors.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.