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ADES International Holding, a subsidiary of ADES Holding Company, which is part of Saudi Arabia-headquartered ADES Group, is days away from crossing the finish line for its merger with the UAE-based Shelf Drilling, expanding its offshore drilling fleet with the addition of 33 jack-up rigs.
After ADES followed up the signing of a transaction agreement for the acquisition of all issued and outstanding shares of Shelf Drilling via cash merger of approximately NOK 3.9 billion, or around $380 million , with a revised cash consideration of NOK 18.50 ($1.88) per share, the shareholders of the UAE player greenlit the proposed merger with a requisite majority of 99.6% votes cast in favor of the takeover.
Shelf Drilling claims that the merger is currently expected to be completed on November 25. The offshore drilling firm has highlighted several key dates and information for the completion, including the last day of trading and the right to cash merger consideration, which is expected on the effective date for completion of the merger.
The next day is reserved for trading suspension on the Oslo Stock Exchange. Afterward comes the record date for delivery of the cash merger consideration on November 27, followed by the payment of cash merger consideration to eligible shareholders of Shelf Drilling on December 1.
The company is expected to be formally delisted from the Oslo Stock Exchange shortly after the merger is finished. Once the merger is out of the way, ADES will enlarge its fleet to encompass 83 offshore jack-ups, including 46 premium units.
The Saudi player’s fleet currently contains 90 rigs across 13 countries, encompassing 40 onshore drilling rigs, 48 jack-up offshore drilling rigs, one jack-up barge, and one mobile offshore production unit (MOPU).
Recently, the offshore drilling firm received the go-ahead to resume one of its offshore drilling jobs in Saudi Arabia.