Eldorado to Acquire Vantage Drilling

Vantage Drilling International Ltd said it has agreed to a takeover by Eldorado Drilling AS to create a more scalable offshore drilling platform.

The transaction will combine Vantage Drilling and Eldorado Drilling Merger Sub Ltd. Both Vantage Drilling and the Eldorado subsidiary are Bermuda exempted companies. After the merger, Vantage Drilling will survive as an enlarged company under Norway's Eldorado, Vantage Drilling said in a press release.

The agreement entitles Vantage Drilling shareholders to $19 per share in cash. The offer represents an equity value of around $257.6 million, Vantage Drilling said.

"The principal shareholder of Eldorado has committed to provide $125 million of equity funding support for the transaction, consisting of a $64,500,000 equity commitment to be funded with cash and $60,500,000 through the conversion of an existing shareholder note into equity of Eldorado, which is intended to free up proceeds of Eldorado’s anticipated debt financing that will be used to consummate the Merger", Vantage said.

Eldorado chair Bernie Wolford said, “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", Wolford added.

Vantage Drilling chief executive Ihab Toma said, "This transaction strengthens our ability to invest in our people and assets, pursue high‑quality opportunities across regions, and maintain the standards our customers expect".

The parties expect to complete the transaction in the third quarter, subject to closing conditions including approval by Vantage Drilling shareholders at a meeting expected to be held June 18.

Vantage Drilling held $366.83 million in total assets including $189.5 million in current assets as of the end of the first quarter. Total liabilities stood at $112.44 million, mostly current ($108.08 million). Equity totaled $254.39 million.

"As of March 31, 2026, Vantage had approximately $65.3 million in cash, including $4.0 million in restricted cash and $11.4 million pre-funded by our Managed Services customers for near-term obligations", it said in its quarterly report May 26.

Net profit for the January-March 2026 period was $0.03 per diluted share.

"We are pleased to report continued strong operational performance of the Tungsten Explorer in the Republic of the Congo prior to its mobilization to Angola", said Vantage Drilling chief executive Ihab Toma. "In addition, the Topaz Driller continues to deliver efficient operations during its ongoing campaign in Malaysia and the Platinum Explorer continues to prepare for its upcoming campaign following the previously announced notification of award for a three-year firm contract valued at approximately $261 million, with an additional one-year option".

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