Slaughter and May advised Seadrill on the refinancing of its debt facilities

Slaughter and May advised Seadrill Limited (“Seadrill”) on the refinancing of its existing financing facilities by way of an issuance of $500,000,000 8.375% Senior Secured Second Lien Notes due 2030 and a $225,000,000 Senior Secured Revolving Credit Facility, with an accordion feature of up to $100,000,000. Slaughter and May also advised Seadrill on the further issuance of $75,000,000 8.375% Senior Secured Second Lien Notes due 2030 at 100.75% of par.

The Notes and the new Revolving Credit Facility are on improved terms in comparison to Seadrill’s previous facilities and reflect Seadrill’s successful exit from Chapter 11 in 2022. Both the Revolving Credit Facility and the Notes are jointly and severally guaranteed by Seadrill, Seadrill Finance and various Seadrill subsidiaries. All security pledged under the previous facilities was released, and a new multi-jurisdictional security package was taken across 11 jurisdictions. The new security package includes certain rigs owned by Seadrill’s direct and indirect subsidiaries.

Slaughter and May, as corporate counsel, worked as part of an integrated team with Todd Strickler, James Ferrow and Temi Bankole from the Seadrill in-house legal team. Slaughter and May worked alongside the following foreign counsel to coordinate the collateral aspects of the transaction: Baker Botts LLP, USA; Conyers Dill & Pearman, Bermuda and the Cayman Islands; Loyens & Loeff Luxembourg SARL, Luxembourg; Szabó Kelemen and Partners Andersen Attorneys, Hungary; Cescon, Barrieu, Flesch & Barreto Advogados, Brazil; Cozen O’Connor, Marshall Islands; Aluko & Oyebode, Nigeria; Advokatfirmaet Thommessen AS, Norway; Arias, Febrega & Febrega, Panama and Rajah & Tann Singapore LLP, Singapore.