Hamilton, Bermuda | January 20, 2022 - Seadrill Limited ("Seadrill" or the
"Company") (OSE: SDRL, OTCPK: SDRLF) and the Issuer today announce that the
Issuer has emerged from chapter 11 after successfully completing its
pre-packaged restructuring pursuant to its chapter 11 plan of reorganization
(the "Plan"). As previously announced, the Plan was confirmed by the United
States Bankruptcy Court for the Southern District of Texas on January 12, 2022.
All conditions precedent to the restructuring contemplated by the Plan have been
satisfied or otherwise waived. Seadrill New Finance Limited will shortly be
renamed Paratus Energy Services Ltd.
In accordance with the Plan, post emergence the board of directors of the Issuer
shall consist of between three and five members, up to four of which shall be
appointed by the Issuer's noteholders, with the remaining director to be
appointed by Seadrill. As such, a newly constituted board of directors of the
Issuer was appointed today, consisting of Mei Mei Chow, Jim LaChance, Matt Lyne,
and James Ayers. Sergio Delgado will initially act as an observer.
The Plan, which received support from an overwhelming majority of existing
stakeholders, provides the Issuer with financial and strategic flexibility and
stability. Benefitting from both the new ownership structure and the continuity
provided by the Seadrill group, the Issuer expects to continue to focus on
maximizing value for all stakeholders from its portfolio of investments
including the Seabras Sapura JV and the SeaMex group.
As noted in previous announcements, the key terms of the Plan included:
o the release by the holders of the Issuer's pre-existing 12.0% Senior Secured
Notes due 2025 (the "Noteholders" and the "Notes", respectively) of all existing
guarantees and security and claims (if any) with respect to Seadrill and its
subsidiaries (excluding the Issuer and certain of its subsidiaries)