SDLP - Seadrill Partners: A Look At The Second-Quarter Results
(Courtesy: SDLP: The drillship West Auriga)
Investment Thesis
Seadrill Partners LLC (SDLP) is a well-managed offshore drilling company which is struggling with a high-level debt in a weak business environment. Fortunately for shareholders, Seadrill Partners managed to insulate the company against the nasty ripple effects of the restructuring of Seadrill Ltd. (SDRL) which was forced to file for chapter 11 due to a massive debt load.
However, while Seadrill is considered as a minority holder now, it owns 42,819,100 total common (26,275,750 shares) and subordinated shares (16,543,350 shares) of Seadrill Partners, or