Borr Drilling (BORR) Fell This Week. Here is Why

Borr Drilling Limited (NYSE:BORR) is an offshore shallow-water drilling contractor providing worldwide offshore drilling services to the lipid and state industry.

Borr Drilling Limited (NYSE:BORR) slid aft announcing an equity offering of 21 cardinal shares connected December 8, expecting to rise $84 cardinal successful gross full proceeds. The institution has priced the offering astatine $4 per stock and plans to usage the proceeds for the acquisition of 5 jackup rigs from Noble Corporation plc (NYSE:NE) for $360 cardinal and for wide firm purposes.

The woody volition beryllium financed done $150 cardinal successful further elder secured notes owed 2030 and $150 cardinal seller’s recognition owed 2032, connected apical of the equity offering. The acquisition, expected to adjacent successful Q1 2026, volition grow Borr’s fleet size to 29 rigs.

Bruno Morand, CEO astatine Borr Drilling Limited (NYSE:BORR), commented:

“This acquisition represents a compelling strategical and fiscal accidental for Borr Drilling. We are acquiring these rigs astatine an charismatic terms and astatine a constituent successful the jack-up rig rhythm wherever request is showing signs of strengthening. We expect the transaction to beryllium instantly accretive to Adjusted EBITDA and trim our indebtedness per rig. The Borr Drilling’s level – built connected operational excellence, lawsuit centricity, and our premium jack-up fleet – remains our defining competitory advantage. We judge this expanded level volition deepen lawsuit relationships and thrust charismatic semipermanent worth for shareholders.”

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Disclosure: None.