New York, February 9, 2026, 10:18 EST — Regular session
Shares of Valaris Limited (NYSE:VAL) surged roughly 23% Monday after news broke of a $5.8 billion all-stock buyout that would see the offshore driller absorbed by Transocean. The stock most recently traded at $77.00.
The tie-up arrives as oilfield service firms push for greater scale and leaner operations, with clients holding back on new well spending and demanding higher returns. Valaris shareholders stand to get 15.235 shares of Transocean for each Valaris share, putting Valaris at $82.12 a share—a roughly 31.6% premium to its previous closing price, based on Reuters’ figures. 1
Transocean and Valaris put the enterprise value of their merged business at about $17 billion, counting debt, with a combined rig fleet of 73 that covers drillships, semisubmersibles, and jackups. “This transaction creates a very attractive investment in the offshore drilling industry,” said Transocean President and CEO Keelan Adamson. For Valaris, CEO Anton Dibowitz described the merger as “a new industry leader.” 2
Since the deal is structured in stock rather than cash, Valaris’ price will tend to track Transocean’s shares until the transaction closes—a gap could open up if investors lose confidence it’ll go through. Transocean (NYSE:RIG) slipped roughly 0.5% to $5.37, so the offer’s implied value keeps moving with the ticker.
Shares of other offshore drillers also caught a bid, with some traders speculating the deal could spark further consolidation. Noble Corp added roughly 3.9%, while Borr Drilling advanced close to 3.0%.
According to a Valaris filing, the deal takes the form of a court-approved scheme of arrangement under Bermuda law—a mechanism often used for mergers. The companies also indicated they’ll be releasing more information via SEC filings as the transaction progresses.
Their investor slide deck puts pro forma backlog around $10 billion in contracted future revenue, with a projected pro forma market cap of roughly $12.3 billion. Management is also pointing to a target leverage ratio near 1.5x within two years after the deal closes, referencing cost reductions and “identified” synergies.
But the deal isn’t done yet. It still has to clear both shareholder and regulatory hurdles, with the usual baggage—think lawsuits, challenges with customer contracts, and those inevitable integration expenses. A prolonged drop in Transocean’s stock would directly eat into the payout for Valaris holders, since the exchange ratio isn’t moving. 3
Looking ahead, investors are eyeing Valaris’s next big update: the company has penciled in Thursday, Feb. 19 for its fourth-quarter 2025 earnings release, scheduled to hit before the New York Stock Exchange bell, with a conference call at 10:00 a.m. EST. That’s the moment management will get to address fleet demand and backlog, this time with the latest deal in the rearview mirror. 4
