Paratus Energy Services Ltd. Company update

HAMILTON, Bermuda, March 17, 2023 /PRNewswire/ -- Paratus Energy Services Ltd. ("Paratus") today announced the completion of the sale of all of Seadrill's ownership interest in Paratus and general business updates on Paratus, its subsidiaries, and associated companies ("Paratus Group").

Paratus intends to release its trading update for fourth quarter 2022 in the coming days.

Completion of the Share Acquisition Transaction

On February 24, 2023, Hemen Investments Ltd ("Hemen"), an entity ultimately controlled by trusts established by John Fredriksen for the benefit of his immediate family members, funds and accounts managed by Lodbrok Capital LLP ("Lodbrok"), and Melqart Asset Management (UK) Ltd ("Melqart") (collectively, the "Acquiring Shareholders") have successfully completed their acquisition of all of Seadrill's ownership interests in Paratus (the "Share Acquisition Transaction"), including Seadrill's 35% ownership stake and its rights under the Management Incentive Fee Deed (the "MID"). As part of the Share Acquisition Transaction, the MID, which provided for a 5% fee on any proceeds arising out of liquidity events above approximately $570 million, is expected to be terminated in exchange for 22,332 shares in a new class of non-voting ordinary shares in Paratus ("C Shares"). The C Shares will represent approximately 7.25% of the pro forma share count[1]. In connection with closing of the Share Acquisition Transaction, the Paratus management services agreement will be transitioned over from Seadrill to Hemen-related entities and other affiliated group companies. Paratus will continue to build on its in-house expertise to further develop the company as a leading oil services holding company.