RDC - Rowan Companies: Merger Benefits Ensco Not Rowan
I must admit that I woke up this morning quite shocked on the news that British drilling giant Ensco Plc (ESV) is acquiring Rowan Companies (RDC) in an all-stock deal. This comes on the heels of several other acquisitions and mergers in the offshore drilling industry. In this case though, I must admit to not being especially excited about the deal, mostly because I was interested in acquiring a position in Rowan and this looks to be a bad deal for that firm. It is undoubtedly a good one for Ensco,