LONDON– Ensco Rowan plc has reported the completion of the merger of Ensco plc and Rowan Companies plc.
This follows the satisfaction of the transaction’s closing conditions including approval by each company’s shareholders and sanction by the UK Court of the scheme of arrangement implementing the transaction.
The company will trade on the New York Stock Exchange under the ticker symbol ESV. EnscoRowan will maintain its headquarters in London, with a significant presence in Houston.
Under the terms of the transaction agreement, Rowan shareholders received 2.750 Ensco shares for each Rowan share they owned immediately prior to closing. Legacy Ensco and Rowan shareholders own approximately 55% and 45%, respectively, of the outstanding shares of EnscoRowan. Following the closing of the transaction, ordinary shares of the combined company have been consolidated through a 4:1 reverse stock split, resulting in approximately 197 million ordinary shares outstanding.
Tom Burke, EnscoRowan’s president and CEO, said: “The successful completion of our merger further enhances our market leadership with a fleet of high-specification floaters and jackups and diverse customer base. Our growing geographic presence, technologically-advanced drilling rigs and talented employees position us exceptionally well to meet increasing and evolving customer demand. I look forward to executing on the significant long-term growth opportunities we believe we can capture from our combined strengths as the offshore sector recovers.”
Carl Trowell, EnscoRowan’s executive chairman, said: “The combination of Ensco and Rowan creates an industry-leading offshore driller across all water depths, establishing a stronger company capable of thriving throughout the market cycles. Our increased scale, diversification, and financial strength will provide significant advantages to better serve our customers and unlock long-term value for our shareholders. We are excited to move forward together as a combined company.”