Business
Borr Drilling Announces Agreement to Acquire Five Premium Jack-Up Rigs
Borr Drilling Limited (NYSE: BORR) ("Borr Drilling" or the "Company") has entered into an agreement to acquire five premium jack-up rigs from Noble Corporation, consisting of three Friede & Goldman JU-3000N design rigs and two Gusto MSC CJ50 design rigs, for a total purchase price of $360 million.
About this update from Borr Drilling Limited
[{"type":"text","content":"HAMILTON, Bermuda, Dec. 8, 2025 /PRNewswire/ -- Borr Drilling Limited (NYSE: BORR) ("Borr Drilling" or the "Company") has entered into an agreement to acquire five premium jack-up rigs from Noble Corporation, consisting of three Friede & Goldman JU-3000N design rigs and two Gusto MSC CJ50 design rigs, for a total purchase price of $360 million.","length":370,"tagName":"p"},{"type":"text","content":"These rigs have complementary specifications and geographic footprint to Borr Drilling's existing fleet, enabling the Company to leverage its best-in-class platform to maximize the value of these assets while offering our customers a larger and versatile fleet. Upon completion of the acquisition, the Company's fleet size will increase from 24 to 29 rigs, further strengthening its position as the owner of the youngest premium jack-up fleet globally.","length":460,"tagName":"p"},{"type":"text","content":"Two of the rigs will be chartered back to the seller on a bareboat basis for a period of 12 months allowing the seller to complete the current drilling contracts for these rigs. The bareboat contracts earnings are net of operating costs, providing the Company with earnings and cashflow certainty in the period. The rigs are expected to generate total earnings of $29 million before debt service.","length":396,"tagName":"p"},{"type":"text","content":"The acquisition is planned to be financed by (i) an offering of an additional $150 million of the Company's existing 10.375% Senior Secured Notes due 2030; (ii) a $150 million seller's credit due in 2032; and (iii) an $85 million equity raise. The two rigs under bareboat charters will be placed into the Senior Secured Notes' restricted group which secures the Company's existing bond, while the remaining three rigs will be financed on a non-recourse basis by the seller's credit facility outside the bond group.","length":534,"tagName":"p"},{"type":"text","content":"Bruno Morand, Chief Executive Officer, said: "This acquisition represents a compelling strategic and financial opportunity for Borr Drilling. We are acquiring these rigs at an attractive price and at a point in the jack-up rig cycle where demand is showing signs of strengthening. We expect the transaction to be immediately accretive to Adjusted EBITDA and reduce our debt per rig...