Global Marine Inc. and Santa Fe International Corporation (NYSE: SDC) announced today that they have entered into a definitive agreement to merge in a stock-for-stock transaction that will create the world’s second largest offshore drilling contractor. The new company, which will be named GlobalSantaFe Corporation, will be headquartered in Houston and will trade on the New York Stock Exchange under the ticker symbol “GSF”. Based on Santa Fe’s closing stock price on Friday, August 31, GlobalSantaFe would have a market value of approximately $6 billion.
By combining complementary resources, GlobalSantaFe will have the operational scale and market coverage to deliver superior service to the world’s leading oil and gas companies. The new company will be the premier worldwide contract driller, with one of the industry’s youngest, most diversified and technologically advanced drilling fleets. The new company will also operate over 100 rigs in the world’s key drilling markets, with its own fleet of 59 offshore and 31 land drilling rigs and 13 rigs operated for others. In addition, the new company will be the world’s leading provider of drilling management services, including turnkey and project management.
