Noble Corp.’s $1.59 billion cash-and-stock acquisition of Diamond Offshore Drilling has cleared the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, the companies said on July 25.
The waiting period, in years past a formality, has taken on more gravity as the Federal Trade Commission steps up scrutiny of a number of upstream and service companies’ deals.
Including the assumption of debt, Noble’s acquisition will total about $2 billion.
On a combined basis, Noble's 14 working (15 total) dual BOP 7th generation drillships will comprise the “leading tier one drillship fleet” in the industry, Noble said when it announced the deal on June 10.
Under the terms of the agreement, Diamond shareholders will receive 0.2316 shares of Noble, plus cash consideration of $5.65 per share for each share of Diamond stock, representing an 11.4% premium to closing stock prices on June 7. The cash payments to Diamond stockholders represents $600 million cash on a fully diluted basis.
At closing, Diamond shareholders will own approximately 14.5% of Noble's outstanding shares.
Completion of the transaction is subject to the satisfaction of the remaining customary closing conditions, including approval by Diamond's stockholders and the receipt of informal clearance by the Australian Competition & Consumer Commission. A special meeting of Diamond stockholders to vote on the transaction is currently scheduled on Aug. 27.
RELATED
Sea Power: Noble’s Deal Fires Major Volley in Offshore, Services M&A
Recommended Reading
Brookfield Targets More Renewable Power Growth Opportunities
2024-09-11 - Brookfield Asset Management agreed to invest up to $1.1 billion in efuels producer Infinium as it seeks additional growth opportunities.
Oil, Gas Execs: To Scale Up CCS, Standardize
2024-09-25 - Executives from Aethon Energy, Aker Solutions, Chevron and NOV said efficiency and repeatability—not cramming new technologies into every venture—are key to lowering costs associated with capturing CO2.
EQT: Glut of Low Carbon Tech Like ‘Manhattan Project on Steroids’
2024-08-19 - Executives at EQT, NOV and Oxy Low Carbon Ventures discussed technology, scalability and other energy transition needs at a recent SPE conference.
LongPath Technologies Secures DOE Loan to Expand Emissions Monitoring Network
2024-10-23 - LongPath aims to construct and install more than 1,000 remote monitoring towers across oil and gas basins including the Permian, Denver-Julesburg and Anadarko.
DNV: Emissions Fall, Solar Soars, Oil Demand Shrinks 35% by 2050
2024-10-09 - The Norwegian risk manager spotlights the good and not so good in its latest global energy transition outlook, including predictions that half of all vehicles sold worldwide by 2031 will be electric.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.