Transocean Ltd. Announces Public Offering of Shares
Rhea-AI Summary
Transocean (NYSE: RIG) has announced a significant public offering of 100 million shares with an additional 30-day option for underwriters to purchase up to 15 million additional shares. The offering, jointly managed by Citigroup and Morgan Stanley, aims to use the proceeds primarily for debt management, specifically targeting the repayment or redemption of a portion of the $655 million 8.00% Senior Notes due February 2027.
The offering is being conducted under a shelf registration statement that became effective on July 1, 2024. Any remaining proceeds will be allocated to general corporate purposes. The completion of the offering remains subject to market conditions and SEC review.
Positive
- Potential reduction of high-interest debt burden through refinancing of 8.00% Senior Notes
- Strategic debt management initiative to improve capital structure
- Strong institutional backing with Citigroup and Morgan Stanley as joint book-runners
Negative
- Significant shareholder dilution with 100 million new shares being offered
- Additional potential dilution through 15 million share underwriter option
- Large offering size indicates substantial capital needs
News Market Reaction
On the day this news was published, RIG gained 2.82%, reflecting a moderate positive market reaction. Argus tracked a peak move of +2.5% during that session. Argus tracked a trough of -18.2% from its starting point during tracking. Our momentum scanner triggered 26 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $98M to the company's valuation, bringing the market cap to $3.57B at that time.
Data tracked by StockTitan Argus on the day of publication.
STEINHAUSEN, Switzerland, Sept. 24, 2025 (GLOBE NEWSWIRE) -- Transocean Ltd. (NYSE: RIG) (“Transocean”) announced today that it intends to offer and sell 100,000,000 Transocean shares, par value
Citigroup and Morgan Stanley are acting as joint book-running managers for the offering.
Transocean intends to use the net proceeds from the offering for the repayment or redemption of indebtedness, including the repayment or redemption of a portion of the
Transocean is offering the shares pursuant to a shelf registration statement that was filed with the Securities and Exchange Commission (“SEC”) and became automatically effective on July 1, 2024. This offering is being made only by means of a prospectus and prospectus supplement that form a part of the registration statement. A preliminary prospectus supplement relating to and describing the terms of the offering is expected to be filed with the SEC and, if and when filed, copies of the preliminary prospectus supplement relating to the offering may be obtained for free by visiting the SEC’s website at www.sec.gov. Copies of the preliminary prospectus supplement and the accompanying prospectus may also be obtained, when available, by contacting: Citigroup, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 (Tel: 800-831-9146); or Morgan Stanley & Co. LLC, Attn: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014. The final terms of the offering will be disclosed in a final prospectus supplement to be filed with the SEC.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offers, solicitations or offers to buy, or any sales of securities will be made in accordance with the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”). The offering is subject to market and other conditions and the completion of the SEC’s review process. There can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering.
About Transocean
Transocean is a leading international provider of offshore contract drilling services for oil and gas wells. The company specializes in technically demanding sectors of the global offshore drilling business with a particular focus on ultra-deepwater and harsh environment drilling services and operates the highest specification floating offshore drilling fleet in the world.
Transocean owns or has partial ownership interests in and operates a fleet of 27 mobile offshore drilling units, consisting of 20 ultra-deepwater floaters and seven harsh environment floaters.
Forward-Looking Statements
The statements described herein that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. These statements could contain words such as “possible,” “intend,” “will,” “if,” “expect,” or other similar expressions. Forward-looking statements are based on management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are beyond our control, and in many cases, cannot be predicted. As a result, actual results could differ materially from those indicated by these forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, fluctuations in the market price for Transocean’s shares, conditions in financial markets, risks relating to the closing of the offering, including the terms and timing thereof and the satisfaction of customary closing conditions, and other factors, including those risks discussed in the section entitled “Risk Factors” in Transocean’s most recent Annual Report on Form 10-K for the year ended December 31, 2024, and in Transocean’s other filings with the SEC, which are available free of charge on the SEC’s website at: www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated. All subsequent written and oral forward-looking statements attributable to Transocean or to persons acting on our behalf are expressly qualified in their entirety by reference to these risks and uncertainties. You should not place undue reliance on forward-looking statements. Each forward-looking statement speaks only as of the date of the particular statement. We expressly disclaim any obligations or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in our expectations or beliefs with regard to the statement or any change in events, conditions or circumstances on which any forward-looking statement is based, except as required by law.
Analyst Contact:
Alison Johnson
+1 713-232-7214
Media Contact:
Kristina Mays
+1 713-232-7734
FAQ
How many shares is Transocean (RIG) offering in its public offering?
What will Transocean use the proceeds from its 2025 share offering for?
Who are the underwriters for Transocean's 2025 public offering?
When did Transocean's shelf registration statement become effective?
What is the impact of Transocean's 2025 share offering on existing shareholders?
