SAN FRANCISCO, Feb 8 (Reuters) - Noble Corp, the third-largest offshore oil and gas rig contractor, said on Monday its board had approved a return of capital to investors more than double the previous level, along with a special payout.
Noble, like others in the oilfield services business, has been looking to return some of its anticipated cash flow to shareholders now that the industry has stabilized after a wrenching 2009.
'At the same time, we believe we are equipped to continue to invest in our fleet, consider additional share repurchases and capitalize on attractive opportunities in the offshore drilling industry,' Noble Chairman and Chief Executive David Williams said in a statement.
Subject to shareholder authorization, the return by Switzerland-based Noble will take place through the reduction in the par value of its shares by 0.52 Swiss francs in four quarterly installments, starting this August.
In addition, a special return will take place in August through a one-time par value reduction of 0.56 francs, which is also subject to shareholder authorization at Noble's April 30 annual general meeting in Zug, Switzerland.
Distributions to shareholders in the form of a par value reduction are exempt from Swiss withholding tax, Noble says on its website.
Last May, Noble shareholders approved a par value reduction of 0.25 francs per share, payable in four installments, and Noble had paid 0.15 francs so far as of late October, bringing the par value of its shares down to 4.85 francs.
All payments are in U.S. dollars based on the exchange rate a few days before each is made, Noble said in a statement.
Larger rival Transocean Ltd, which is also based in Switzerland, is currently debating what to do with its cash flow in the coming years, its new chief financial officer, Ricardo Rosa, said last week.
(Reporting by Braden Reddall, editing by Leslie Gevirtz) Keywords: NOBLECORP/PAYOUT (braden.reddall@thomsonreuters.com; +1 415 677 2543; braden.reddall.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Noble, like others in the oilfield services business, has been looking to return some of its anticipated cash flow to shareholders now that the industry has stabilized after a wrenching 2009.
'At the same time, we believe we are equipped to continue to invest in our fleet, consider additional share repurchases and capitalize on attractive opportunities in the offshore drilling industry,' Noble Chairman and Chief Executive David Williams said in a statement.
Subject to shareholder authorization, the return by Switzerland-based Noble will take place through the reduction in the par value of its shares by 0.52 Swiss francs in four quarterly installments, starting this August.
In addition, a special return will take place in August through a one-time par value reduction of 0.56 francs, which is also subject to shareholder authorization at Noble's April 30 annual general meeting in Zug, Switzerland.
Distributions to shareholders in the form of a par value reduction are exempt from Swiss withholding tax, Noble says on its website.
Last May, Noble shareholders approved a par value reduction of 0.25 francs per share, payable in four installments, and Noble had paid 0.15 francs so far as of late October, bringing the par value of its shares down to 4.85 francs.
All payments are in U.S. dollars based on the exchange rate a few days before each is made, Noble said in a statement.
Larger rival Transocean Ltd, which is also based in Switzerland, is currently debating what to do with its cash flow in the coming years, its new chief financial officer, Ricardo Rosa, said last week.
(Reporting by Braden Reddall, editing by Leslie Gevirtz) Keywords: NOBLECORP/PAYOUT (braden.reddall@thomsonreuters.com; +1 415 677 2543; braden.reddall.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.