Saudi oil and gas driller ADES has wrapped up the acquisition of Dubai-based Shelf Drilling under the conditions of a revised offer sent in September. The initial offer for Shelf Drilling of NOK 14.00 per share ($1.37) was sent back in August. The $380m was not enough, and the two companies agreed on revised terms of the proposed merger whereby the cash consideration is increased to NOK 18.50 ($1.81) per share. The improved offer was around $520m. Now that the transaction has been completed, Shelf Drilling has become a wholly owned subsidiary of ADES, and the company has been delisted from the Oslo Stock Exchange. Another requirement of the merger was that ADES would settle Shelf Drilling’s existing debt obligations. The deal has resulted in a combined fleet of 83 offshore units, 46 of which are considered premium units, and 40 onshore rigs, now operating across 19 countries. The company now has a combined backlog in excess of SAR 34bn ($9bn) with a jackup utilisation at above 90%. “This is a defining moment for ADES. By completing this landmark transaction, we have cemented our position as the world’s leading offshore drilling company, with the scale, fleet quality and geographic reach to serve clients across the world’s most attractive basins,” said Mohamed Farouk, CEO of ADES. ADES expects to realise $50–60m in annual operational cost synergies, with gradual realisation over the medium term and alongside associated costs to achieve these efficiencies. googletag.cmd.push(function() { googletag.display('div-gpt-ad-1_95_0_1_2'); }); TagsSaudi Arabia United Arab Emirates