Offshore drilling contractor Transocean has gained an approval for its previously announced merger with the subsidiary Transocean Partners.
During a special meeting held on Tuesday, December 6 the common unitholders of Transocean Partners approved the merger among Transocean Ltd., Transocean Partners and certain subsidiaries of Transocean Ltd. announced back in August this year.
Transocean said on Tuesday the company expects to issue approximately 23.8 million shares associated with the transaction. Closing is expected on or around December 9, 2016.
Following completion of the merger, Transocean Partners will be 100% owned by Transocean and therefore Transocean will have indirectly acquired the 51% ownership interests in two drillships, the Discoverer Inspiration and the Discoverer Clear Leader, and the semi-sub drilling rig Development Driller III that are currently owned by Transocean Partners.
One of the world’s largest offshore drillers expects the merger will make the company simpler to manage, administration and governance-wise. Announcing the plan in August, Jeremy Thigpen, CEO, said the move would provide the company with tangible cost cuts and improved liquidity.
Offshore Energy Today Staff