BORR Borr Drilling Ltd
Price Chart
Executive Summary
Borr Drilling announced early tender results for its consent solicitation and tender offer on its 2028 and 2030 senior secured notes, with 93.84% of aggregate principal tendered. The company also priced a $2.035 billion new notes offering (8.750% due 2032 and 9.000% due 2034) to refinance the tendered notes, with early settlement expected on June 10, 2026. This liability management exercise reduces the company's weighted average interest cost from ~10.1% to ~8.9% and extends maturities, improving the credit profile but adding $2.2 billion in new debt.
Actionable Insight
The successful tender and refinancing reduces Borr's average interest cost by ~120 bps and extends maturities to 2032/2034, a clear credit positive. Monitor the final settlement on June 24, 2026, and watch for any residual note redemption. The 20-F showed declining net income (-45% YoY) and $2.2B in debt maturities by 2030, so this refinancing addresses a key risk but does not resolve the profitability trend.
Key Facts
- 93.84% of aggregate principal amount of Notes tendered (95.92% of 2028 Notes, 90.56% of 2030 Notes)
- Issuer priced $1,100,000,000 8.750% Senior Secured Notes due 2032 and $935,000,000 9.000% Senior Secured Notes due 2034
- Early Settlement Date set for June 10, 2026
- Supplemental indentures executed to remove substantially all covenants and release liens on collateral
- Issuer intends to redeem all remaining untendered Notes at the offered price
- Citigroup Global Markets Inc. acting as dealer manager and solicitation agent
Financial Impact
Refinancing of ~$2.1 billion in 10.0%-10.375% notes with $2.035 billion in 8.75%-9.0% notes, reducing annual interest cost by approximately $25-30 million
Risk Factors
- New notes offering of $2.035 billion increases total debt, partially offsetting interest savings
- Net income declined 45% YoY to $45 million per the 20-F, indicating underlying earnings pressure
- Covenant removal and lien release reduces bondholder protections, potentially increasing future refinancing risk
Market Snapshot
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 6-K Filing (Primary) | 0001140361-26-024590 |
| Document: ef20075827_6k.htm | 0001140361-26-024590 |
| Document: 0001140361-26-024590-index-headers.html | 0001140361-26-024590 |
| Document: 0001140361-26-024590-index.html | 0001140361-26-024590 |
| Document: 0001140361-26-024590.txt | 0001140361-26-024590 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
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Jun 11, 2026
2d ago
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6-K
| $4.60 awaiting T+5 | awaiting T+5 | — | $4.58 (−0.43%) |
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Jun 10, 2026
3d ago
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Insider Cluster
| $4.55 awaiting T+5 | awaiting T+5 | — | $4.58 (−0.66%) |
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Jun 9, 2026
3d ago
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6-K
| $4.54 awaiting T+5 | awaiting T+5 | — | $4.58 (+0.99%) |
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May 28, 2026
16d ago
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6-K
| $5.07 $5.05 | ▼ −0.39% | ▼ −0.71% | $4.58 (−9.66%) |
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May 26, 2026
17d ago
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6-K
| $5.33 $5.20 | ▼ −2.44% | ▼ −3.52% | $4.58 (−14.07%) |
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May 26, 2026
17d ago
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6-K
| $5.33 $5.20 | ▼ −2.44% | ▼ −3.52% | $4.58 (−14.07%) |
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May 26, 2026
17d ago
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6-K
| $5.33 $5.20 | ▼ −2.44% | ▼ −3.52% | $4.58 (−14.07%) |
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May 21, 2026
22d ago
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6-K
| $5.64 $5.07 | ▲ +10.11% | ▲ +11.71% | $4.58 (+18.79%) |
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May 21, 2026
22d ago
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6-K
| $5.64 $5.07 | ▲ +10.11% | ▲ +11.71% | $4.58 (+18.79%) |
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May 20, 2026
23d ago
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6-K
| $6.18 $5.04 | ▼ −18.45% | ▼ −19.68% | $4.58 (−25.89%) |
US Market Status
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