Bermudian-based Paratus Energy Services Ltd has agreed to sell its offshore drilling and jack-up rig business in a deal valued at about $400 million, as it sharpens its focus on subsea services.

The company said the transaction involves the sale of its Fontis unit’s operations to Borr Drilling Ltd and Mexico-based Proyectos Globales de Energía y Servicios CME, with closing expected in the second half of 2026, subject to approvals.

Paratus said the move marks a shift towards becoming a pure-play provider of pipe-laying support vessels, a segment it described as offering more stable, long-term earnings.

Robert Jensen, chief executive, said: “With this transaction, we take a decisive step towards becoming a leading pure-play PLSV company of scale.”

The company added that the sale should reduce operational risk, particularly exposure to payment delays and contract uncertainty in Mexico, while strengthening its balance sheet.

Paratus said it will have realised about $760 million in value from Fontis since acquiring the business in 2022, including proceeds from the sale and earlier distributions.

The deal includes an initial cash payment of $148 million, with additional deferred consideration and a seller’s credit component.