SDRLF - Seadrill: Wipeout Coming Soon
Seadrill (SDRL) has just provided its second-quarter report which confirmed the obvious - the company is ready for its second restructuring. Let’s start with the main announcement from Seadrill: “We continue to evaluate capital structure proposals from our financial stakeholders; whilst no agreement has been reached at this point, it is expected that potential solutions will lead to significant equitization of debt which is likely to result in minimal recovery for current shareholders.”
Its capital structure is absolutely not sustainable in the current environment. In the second quarter, the company generated