Transocean Ltd. announced on October 15, 2026, that its subsidiary, Transocean International Limited, entered into an amended and restated credit agreement with Citibank, N.A. acting as administrative agent and collateral agent. The effectiveness of this agreement is contingent upon the closing of Transocean’s previously announced acquisition of Valaris Limited and the satisfaction of customary conditions for a secured credit facility.
Upon effectiveness, the agreement will amend and restate the company’s existing credit agreement. The key changes include extending the scheduled maturity date from June 2028 to October 2031 and increasing the total amount of revolving commitments from $510 million to $750 million. The revolving credit facility is secured by certain drilling rigs and related collateral and will continue to be guaranteed by Transocean Ltd. and certain subsidiaries. The lenders’ commitments under the new agreement will automatically terminate if the conditions to effectiveness are not satisfied or waived by May 9, 2027.
In a separate announcement, Transocean retired its 8.00% Senior Secured Notes due 2028, known as the Aquila Notes, in full on October 1, 2026. The outstanding principal amount of $165 million was settled using cash on hand and funds from an associated debt service reserve account, including a call premium and accrued interest. The company stated that this early retirement results in approximately $22 million in interest expense savings to maturity and reflects a commitment to deleveraging and simplifying the balance sheet.
