Tokyo-based offshore driller Japan Drilling Company (JDC) has secured a new financial backer to aid with its reorganisation plan and help ensure its business.
Japan’s sole offshore drilling contractor has executed a sponsor agreement with Aspirant Group under which the latter will, through a special purpose company, inject capital into JDC and also aim to improve its enterprise by providing human capital resources and cooperating with the existing management.
JDC filed a petition with the Tokyo District Court for the commencement of corporate reorganisation proceedings after the deterioration of its business performance due to the extreme long-term stagnation of the offshore drilling market.
“With a capital injection from funds related to AG, JDC will begin a new chapter in its history,” the company said in a statement.
The company submitted proposed modified reorganisation plans to the Tokyo District Court as of July 30, 2021. Closing is expected in December this year after the revised corporate reorganisation plan is approved by the court.