INFORMATION CONTAINED IN THIS FORM 6-K REPORT
SDRL Seadrill New Finance Limited Announces Forbearance Agreement
Hamilton, Bermuda, February 11, 2021 Seadrill Limited (Seadrill or the Company) (OSE:SDRL,
OTCQX:SDRLF) announces that Seadrill New Finance Limited (the Issuer), a subsidiary of the Company incorporated in Bermuda in 2018 and issuer of the 12.0% senior secured notes due 2025 (the Notes), has entered into a
forbearance agreement with certain holders of the Notes.
Pursuant to the forbearance agreement, the consenting creditors have agreed not to exercise any
enforcement rights with respect to the Issuer and any subsidiary of the Issuer which is an obligor under the Notes to, or otherwise take actions in respect of, certain events of default that may arise under the Notes as a result of, amongst other
things, the Issuer not making the semi-annual 4% cash interest payment due to the senior secured noteholders on 15 January 2021 in respect of their Notes and the filing of Chapter 11 cases in the Southern District of Texas by the Company and
certain of its consolidated subsidiaries (excluding the Issuer and its consolidated subsidiaries), until and including the earlier of 24 February 2021 and any termination of the forbearance agreement.
The purpose of the forbearance agreement is to allow the Company, the Issuer and its stakeholders (including the forbearing holders) time to seek to agree the
terms of a restructuring of the Notes in parallel with the commencement by the Company and certain of its consolidated subsidiaries of their Chapter 11 cases. Such a restructuring may involve the use of a court-supervised process.
FORWARD LOOKING STATEMENTS
This report on Form 6-K includes forward looking statements. Such statements are generally not historical in nature, and specifically include statements about the Companys plans, strategies, business prospects, changes and trends
in its business, the markets in which it operates and its restructuring efforts. These statements are made based upon managements current plans, expectations, assumptions and beliefs concerning future events impacting the Company and therefore
involve a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, which speak only as of the date of this report on Form 6-K. Consequently, no forward-looking statement can be guaranteed. When considering these forward-looking statements, you should keep in mind the risks described from time to time in the Companys regulatory
filings and periodical reporting. The Company undertakes no obligation to update any forward looking statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events.
New factors emerge from time to time, and it is not possible for the Company to predict all of these factors. Further, the Company cannot assess the impact of each such factor on its business or the extent to which any factor, or combination of
factors, may cause actual results to be materially different from those contained in any forward looking statement.
This information is subject to the
disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
For further
information, please contact:
Media questions should be directed to:
Iain Cracknell
Director of Communications
+44 (0)7765 221 812
Analyst questions should be directed to:
Hawthorn Advisors
seadrill@hawthornadvisors.com
+44 (0)203 7454960
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