Proposal 1: Delisting from the Oslo Stock Exchange (OSE)
Borr Drilling is among the larger companies listed on the OSE. Consequently, the company attracts significant attention from Norwegian investors, financial analysts, financial institutions and other European investors. This attention combined with extensive knowledge of the drilling industry has likely benefited the company by increasing its access to both debt and equity funding. Norwegian and other non-US based investors currently own a significant portion of Borr Drilling, trading the shares both on OSE and New York Stock Exchange.
Many Norwegian and European fund managers are mandated to hold shares only in companies listed in Norway, included in the OSEBX-index or listed in another European country. If Borr Drilling delists from the OSE, these fund managers, Folketrygdfondet included, will be forced to sell their shares. Borr Drilling would permanently lose a large Norwegian and European institutional investors base.
Folketrygdfondet will vote according to our mandate to protect the financial interest of the Government Pension Fund Norway and promote well-functioning markets. We believe that the advantages of maintaining listing on the OSE are significant for the company and for investors. We will thus vote against the proposal to delist from OSE.