Seadrill Offers Its Stakes In Oil Service Firms to Debtholders

Offshore drilling rig contractor Seadrill said on Monday it has proposed to creditors to turn over its stakes in oil services firms Archer and Seadrill Seabras to redeem its outstanding secured notes, Reuters reported. The company controlled by Norwegian-born billionaire John Fredriksen has been in talks with creditors since the end of last year over new debt restructuring. Seadrill said it was approached by a group of noteholders in May about a potential deal, and it responded on Aug. 15 with the offer to transfer its stakes in Seadrill Seabras, a pipe-laying vessel contractor, and Archer, an oilfield services firm. Seadrill held a 50% stake in Seadrill Seabras and a 15.7% stake in Archer as of the end of February, according to its annual report. As part of its deal with creditors under U.S. Chapter 11 bankruptcy proceedings in 2018, Seadrill issued $880 million in new secured notes. Read more