Friday, October 1, 2010

Transocean (NYSE:RIG) Bonds Surge After BP (NYSE:BP) Issue Generates Optimism

Transocean Ltd. bonds (NYSE:RIG) took off after the recent issuance by BP (NYSE:BP) engendered optimism in the oil companies connected to the oil spill in the Gulf of Mexico.

Trading on Transocean bonds was the highest in the U.S., which were valued at $900 million for the 6.5 percent securities, which are due in 2020.

BP issued $3.5 billion of bonds on September 28, which broke par since then, generating the interest in Transocean bonds, which were issued on September 16.

Transocean owned the Deepwater Horizon oil rig which went down, leasing it to BP.

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