Paragon Offshore announced that it has signed a tender offer agreement with Borr Drilling, a public limited company incorporated under the laws of Bermuda and listed on the Oslo Stock Exchange, pursuant to which, on the terms and subject to the conditions thereof, Borr has agreed to commence a tender offer to acquire all of the outstanding shares of the company at a purchase price of $42.28 per share.
Borr is expected to commence the offer on 26 February, and the offer will remain open for 20 business days. The offer period is expected to expire at 12:01 AM Eastern Time on 24 March 2018, unless extended. The transaction is expected to close on 26 March 2018, subject to the satisfaction of the offer conditions. The members of the company will receive detailed information regarding the terms of the offer in an offer to purchase and related materials, including a letter of transmittal and a disclosure statement to be disseminated by Borr and Paragon on the date of commencement of the offer.
Jay Swent, Paragon’s President and Chief Executive Officer, said, “We believe this is an excellent outcome for Paragon’s stakeholders. Although Paragon is well positioned to manage through the cycles of the intensely competitive offshore drilling industry, this opportunity minimizes the risk of the investment outcome for our stakeholders at an attractive price. I am proud of our highly qualified and dedicated employees, our assets and our well-deserved reputation for operational excellence, industry-leading safety and uptime performance, and customer service, all of which are important value drivers in this transaction.”