Ensco Changes Name – Analyst Blog

Ensco International plc (ESV) will be known as Ensco plc, effective March 31, 2010. Management said that this name change is part of the company’s move to its new headquarters in London.

 

Though the company will rename itself, it will continue with the same lines of business and trade on the New York Stock Exchange under the existing ticker symbol “ESV”. Ensco is a leading supplier of offshore contract drilling services to the oil and gas industry. The company’s drilling fleet consists of 40 jackup rigs, four ultra-deepwater semi-submersible rigs and one barge rig. Additionally, the company has four ultra-deepwater semi-submersible rigs (Ensco 8500 series) under construction.

 

Effective December 23, 2009, Ensco has shifted its corporate headquarters from Delaware to the U.K. The change is meant to refocus its business from the U.S. to all of the major markets around the world. In 2009, 77% of the company’s total jackup revenue was generated from outside the Americas.

 

While the change of domicile to the U.K. will facilitate better service for its customers and enhance overseeing of the company’s worldwide operations, Ensco also expects to save a significant amount of tax expenses. Its 2010 and 2011 effective tax rate is anticipated to be approximately 16%–17% and 15%, respectively, versus 19% in 2009.