Deals
Forest Oil Bonds Plummet 44 Cents on New Sabine Merger Terms
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Forest Oil Corp. bonds plummeted after the natural gas and oil producer revised the terms of its merger agreement with Sabine Oil & Gas LLC to eliminate the need to repay the debt at 101 cents on the dollar.
Forest Oil’s $578 million of 7.25 percent notes due in 2019 fell 44.3 cents to 42 cents on the dollar at 3:16 p.m. in New York, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority. The debt traded at 86.3 cents today before the announcement.