John Fredriksen’s embattled Seadrill will file for chapter 11 in under three weeks.
The rig operator made a $158m net loss in its second quarter results released today. With debts of more than $10bn, Seadrill has been flagging up a likely chapter 11 filing for a number of months now.
Commenting today, Anton Dibowitz, CEO and president of Seadrill Management, said: “Our primary objective at the moment is concluding final negotiations on our comprehensive restructuring plan, which is at an advanced stage and likely to be implemented via Chapter 11 proceedings on or before 12th September 2017.”
Putting a brave face on the impending bankruptcy application, Dibowitz added: “With a young versatile fleet and upon completion of our restructuring, we will be well placed to capitalise when the market recovers.”
The restructuring of Seadrill has been the most complex financial manoeuvre in John Fredriksen’s 50-plus year career in shipping, the tycoon revealed earlier this year.