Deal seen immediately accretive (Il Sole 24 Ore Radiocor) - New York , 10 Jun - US offshore drilling group Noble Corporation said it has agreed to buy Diamond Offshore Drilling in a cash-and-stock deal worth 1.59 billion dollars.

Diamond's shareholders will receive 0.2316 shares of Noble plus a cash consideration of 5.65 dollars for each share of Diamond stock held. The transaction values Diamond shares at 15.52 dollars each representing an 11% premium to its closing price of 13.93 dollars on Friday. Upon closing, Diamond shareholders will own approximately 14.5% of Noble's outstanding shares.

"This acquisition enables Noble to continue our journey of delivering superior innovation and value to a broad range of the leading offshore operators across the world. Our position will be strengthened with the addition of four 7th generation drillships and one of the most high-spec harsh environment semisubmersible rigs in the world," said Robert Eifler, Noble's president and CEO. "Additionally, Diamond's five conventional deepwater and midwater rigs have averaged above 85% utilization over the last 3 years and currently have strong forward contract coverage. Supported by Diamond's 2.1 billion dollar of backlog and 100 million of anticipated cost synergies, we expect the transaction to be immediately accretive to our free cash flow per share and contribute to accelerated growth in our return of capital to shareholders." The transaction is expected to close by the first quarter of 2025 and is subject to customary closing conditions, including receipt of required regulatory approvals and the approval of Diamond shareholders.

AAA-Hob

(RADIOCOR) 10-06-24 12:03:54 (0224) 5 NNNN