Borr Drilling Limited said Simon Johnson will be replaced as chief executive officer after an eight-month tenure as the Tor Olav Troim-backed company readies to swallow Paragon Offshore.
Borr announced that it and Johnson agreed to terminate their contract. Johnson, who has been in the company since August 2017, will assist in the integration of Paragon and will subsequently leave the company.
The board of directors has decided to promote Svend Anton Maier as interim CEO. Maier has been chief operating officer of Borr since December 2016.
Borr added that the Paragon deal will give the company exposure to major offshore energy players such as Saudi Aramco, ADNOC and Pemex.
"The Board is excited about the significant improvement in tender activity in the jack-up drilling market over the recent months," Troim said.
"The Paragon transaction gives us an operational platform to continue to develop Borr as the leading jack -up drilling operator."
In connection with the Paragon acquisition, Borr said it is looking at offering 54 million new shares, just over 11% of the company. with backstops coming from Troim and other Borr insiders.
The subscription price will be $4.60 per share, raising $250m toward financing the Paragon deal.
Troim-linked entities have agreed to subscribe for shares equivalent to $20m. Ubon Partners, partly owned by board member Fredrik Halvorsen, will subscribe for shares equivalent to $10m.
