Borr Drilling (NYSE: BORR) adds five Mexico jack-up rigs in $287M JV deal

Rhea-AI Filing Summary

Borr Drilling Limited plans to acquire five premium jack-up rigs in Mexico for a total purchase price of $287 million through a new 50/50 joint venture, BC Ventures Limited, with its long-term Mexican partner. The joint venture will buy the rig-owning entities holding two Friede & Goldman JU-2000E rigs and three LeTourneau Super 116-C rigs, all located in Mexico.

The Transaction is expected to be financed with a $237 million non-recourse seller’s credit plus a $25 million cash contribution from each partner at closing. The seller’s credit will mature in 2.5 years and be secured by a first lien on the five rigs. Closing is targeted within Q3 2026, subject to customary conditions, including merger control approvals. Management highlights an attractive valuation, lower debt per rig and lower cash breakeven than the existing fleet, positioning the company to pursue future jack-up opportunities in Mexico and globally.

Positive

• Strategic fleet expansion in key market: Acquisition of five premium jack-up rigs in Mexico through a 50/50 joint venture broadens Borr Drilling’s modern shallow-water fleet and deepens its presence with a long-term local partner.
• Financing structure and unit economics: The use of a $237 million non-recourse seller’s credit plus limited cash contributions, combined with management’s emphasis on lower debt per rig and lower cash breakeven than the existing fleet, supports potentially more resilient cash flows from the acquired assets.

Negative

• Refinancing and execution risk on seller’s credit: The $237 million non-recourse seller’s credit has a relatively short 2.5-year maturity, creating a concentrated future refinancing or amortization requirement tied to the performance of the five rigs.
• Closing and regulatory uncertainties: Completion is expected within Q3 2026 but remains subject to customary conditions, including merger control approvals, introducing timing and execution risk around when the rigs can start contributing under the new structure.

Insights

Offshore drilling & capital structure analyst

Strategic rig expansion with seller-financed structure and moderate execution risk.

Borr Drilling is adding five premium jack-up rigs in Mexico for $287 million via a 50/50 joint venture with its long-term local partner. Management emphasizes that these units come at an attractive valuation, with lower debt per rig and lower cash breakeven than its existing fleet, which can support competitiveness in a tightening shallow-water market.

The deal is primarily funded by a non-recourse seller’s credit of $237 million, supplemented by $25 million in cash from each partner. A 2.5-year maturity and first-lien security on the rigs concentrate refinancing and operational risk into that window, though the non-recourse nature limits recourse beyond the acquired assets.

The rigs’ current location in Mexico and the joint venture with an established local well construction partner align the assets with Borr’s existing operating footprint. The company expects jack-up demand to increase, particularly in shallow water. Actual value realization will depend on securing and maintaining contracts around and after the targeted Q3 2026 closing, and on obtaining required merger control approvals.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

OF THE SECURITIES EXCHANGE ACT OF 1934

March 23, 2026

Commission File Number 001-39007

Borr Drilling Limited

S. E. Pearman Building

2nd Floor 9 Par-la-Ville Road

Hamilton HM11

Bermuda

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F ☒ Form 40-F ☐

Indicate by check mark if the registrant is submitting the Form 6-K on paper as permitted by Regulation S-T Rule 101(b)(1): ☐

Indicate by check mark if the registrant is submitting the Form 6-K on paper as permitted by Regulation S-T Rule 101(b)(7): ☐

Exhibits

99.1 Press Release

 SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	BORR DRILLING LIMITED
Date: March 23, 2026	By:	/s/ Mi Hong Yoon
	Name:	Mi Hong Yoon
	Title:	Director

Exhibit 99.1

Borr Drilling Limited – Acquisition of Five Premium Jack‑Up Rigs through New Joint Venture

Hamilton, Bermuda, March 23, 2026 – Borr Drilling Limited (NYSE and Euronext Growth Oslo: "BORR") (“Borr Drilling” or the “Company”) announced today that it has entered into definitive agreements to acquire five premium jack-up rigs from Fontis Finance Ltd. (“Fontis”) for a purchase price of $287 million (the “Transaction”).

The acquisition will be completed through BC Ventures Limited, a newly established 50/50 joint venture between subsidiaries of Borr Drilling and its long-term well construction partner in Mexico.

Under the Transaction, the joint venture will acquire the rig-owning entities, which own two Friede & Goldman JU-2000E design rigs and three LeTourneau Super 116-C design rigs. These five rigs are currently located in Mexico.

The Transaction is expected to be financed through a $237 million non-recourse seller’s credit, in addition to a cash contribution of $25 million from each of Borr Drilling and its local partner at closing. The seller’s credit will have a 2.5-year maturity from the date of closing and will be secured by, among other things, a first lien on the five jack-up rigs.

Commenting on the Transaction, Borr Drilling CEO Bruno Morand said, “We are pleased to execute this acquisition alongside our longstanding partner. Together, we have built a strong brand with a proven operational track record in Mexico. These rigs are being acquired at an attractive valuation and at a lower debt per rig and cash breakeven level than our existing fleet.

We continue to see shallow-water rigs as strategically important for our customers, particularly at a time when security of energy supply and reliability of execution are of heightened importance. In the current environment, we expect demand for jack-up rigs to increase, and the acquisition of these units positions us well to capture future opportunities in Mexico and globally.”

The Transaction is expected to close within Q3 2026, subject to customary closing conditions, including merger control approvals.

About Borr Drilling

Borr Drilling Limited is an international drilling contractor incorporated in Bermuda in 2016 and listed on the New York Stock Exchange since July 31, 2019 and on Euronext Growth Oslo since December 19, 2025 under the ticker "BORR". The Company owns and operates jack-up rigs of modern and high specification designs and provides services focused on the shallow-water segment to the offshore oil and gas industry worldwide. Please visit our website at www.borrdrilling.com.

Forward-Looking Statements

This press release and related discussions include forward-looking statements made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements do not reflect historical facts and may be identified by words such as "anticipate", "believe", "continue", "estimate", "expect", "intends", "may", "should", "will", "ensure", "likely", "aim", "plan", "guidance" and similar expressions and include statements regarding the acquisition of rigs as described above, the expected benefits of the acquisition, the financing of the acquisition, the expected debt levels of the acquired and existing fleet, the cash breakeven of the acquired and existing fleet and other statements relating to the acquisition, and other non-historical statements. Such forward-looking statements are subject to risks, uncertainties, contingencies and other factors could cause actual events to differ materially from the expectations expressed or implied by the forward-looking statements included herein, including risks relating to acquisition, including risks relating to completion of the acquisition, the financing of the acquisition, the risk that the expected benefits discussed herein are not realized and other risks relating to the acquisition, and other risks and uncertainties described in the section entitled "Risk Factors" in our most recent annual report on Form 20-F and other filings with the Securities and Exchange Commission. Such risks, uncertainties, contingencies and other factors could cause actual events to differ materially from the expectations expressed or implied by the forward-looking statements included herein. These forward-looking statements are made only as of the date of this release. We do not undertake to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

This information is considered to be inside information pursuant to the EU Market Abuse Regulation and was published by Magnus Vaaler, CFO of the Company, on the date and time provided herein.

Questions should be directed to: Magnus Vaaler, CFO, +44 1224 289208

FAQ

What transaction did Borr Drilling (BORR) announce in this Form 6-K?

Borr Drilling announced definitive agreements to acquire five premium jack-up rigs in Mexico for $287 million. The rigs will be purchased through a new 50/50 joint venture, BC Ventures Limited, formed with its long-term well construction partner in Mexico.

How is Borr Drilling financing the acquisition of the five jack-up rigs?

The acquisition is expected to be financed mainly by a $237 million non-recourse seller’s credit, plus a $25 million cash contribution from Borr Drilling and a $25 million contribution from its local partner at closing, limiting upfront cash outlay for each partner.

What types of rigs is Borr Drilling acquiring and where are they located?

The joint venture will acquire rig-owning entities holding two Friede & Goldman JU-2000E jack-ups and three LeTourneau Super 116-C jack-ups. All five premium rigs are currently located in Mexico, aligning with Borr Drilling’s existing shallow-water focus.

When is the Borr Drilling joint venture transaction expected to close?

Borr Drilling expects the transaction to close within Q3 2026, subject to customary closing conditions. These include merger control approvals and other standard requirements, so the exact closing date will depend on the timing of those approvals and conditions being satisfied.

What are the key terms of the seller’s credit in Borr Drilling’s rig acquisition?

The seller’s credit is a $237 million non-recourse facility with a 2.5-year maturity from closing. It will be secured by a first lien on the five jack-up rigs and related security, structurally tying repayment capacity to the performance of those assets.

Why does Borr Drilling view this jack-up rig acquisition as attractive?

Management states the rigs are being acquired at an attractive valuation, with lower debt per rig and lower cash breakeven levels than its existing fleet. They also expect demand for jack-up rigs to increase, positioning the company to pursue future shallow-water opportunities.

Filing Exhibits & Attachments

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Press Releases

• EX-99.1 EXHIBIT 99.1 7.2 KB