BORR News & Events

Borr Drilling Limited announced that it intends to offer, subject to market and other conditions, $250M aggregate principal amount of convertible senior notes due 2033 to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.

Borr Drilling provided operational updates on its fleet, including developments related to the ongoing situation in the Middle East, and announced a new contract commitment. With reference to the company's update on March 9, about its four rigs deployed in the Middle East, the Arabia III resumed operations offshore Saudi Arabia in late March. Additionally, the company has received resumptions notices for the Groa in Qatar and the Arabia II in the UAE and expects these rigs to recommence operations during April. The company's fourth rig in the region, the Forseti, which is operated by a third party under a bareboat charter, is also undergoing preparations to resume operations in Qatar. In the Gulf of America, the Odin, which originally was to start operating earlier in the year, experienced delays due to additional maintenance work required in advance of commencing its contract with Cantium. The rig is now expected to commence operations in April. In Southeast Asia, the Skald has received a binding letter of award from an undisclosed operator. The campaign is expected to commence in the second quarter of 2026 and has an estimated duration of six months. Reflecting these updates and other developments across the fleet since the company's preceding earnings report on February 18, contract coverage for full-year 2026 is 70% at an average dayrate of approximately $134,000, while the coverage for the first and second half of 2026 stands at 78% and 62%, respectively.

Borr Drilling announced that it has entered into definitive agreements to acquire five premium jack-up rigs from Fontis Finance for a purchase price of $287M. The acquisition will be completed through BC Ventures Limited, a newly established 50/50 joint venture between subsidiaries of Borr Drilling and its long-term well construction partner in Mexico. Under the Transaction, the joint venture will acquire the rig-owning entities, which own two Friede & Goldman JU-2000E design rigs and three LeTourneau Super 116-C design rigs. These five rigs are currently located in Mexico. The Transaction is expected to be financed through a $237M non-recourse seller's credit, in addition to a cash contribution of $25M from each of Borr Drilling and its local partner at closing. The seller's credit will have a 2.5-year maturity from the date of closing and will be secured by, among other things, a first lien on the five jack-up rigs. The transaction is expected to close within Q3, subject to customary closing conditions, including merger control approvals.