The principal shareholder of Eldorado has committed to provide $125 million of equity funding for the transaction, consisting of a $64,500,000 cash commitment and $60,500,000 through the conversion of an existing shareholder note into equity.
The principal shareholder of Eldorado is also the guarantor under the merger agreement. Subject to satisfaction of the closing conditions set out in the merger agreement, the completion is expected at the beginning of the third quarter of 2026.
Bernie Wolford , Chairman of Eldorado, underlined: “Today’s announcement marks an important step in building a scaled, resilient offshore drilling platform.
“By combining Vantage Drilling’s global operating capabilities and long-term customer relationships with Eldorado’s investment program, we believe we can deliver enhanced solutions for customers, accelerate growth opportunities, and create lasting value.”
This merger shows that the rig market consolidation wave is gaining momentum, as it comes months after Transocean decided to acquire Valaris in an all-stock transaction valued at approximately $5.8 billion in a bid to establish a combined company with a diversified offshore fleet of 73 rigs, including 33 ultra-deepwater drillships, nine semi-submersibles, and 31 modern jack-ups.