Weatherford Targets $20M-$30M Annual Savings in Delaware Move

Weatherford International will ask shareholders on Sept. 3 to approve a switch of its legal home from Ireland to Delaware, a shift the board said could generate $20 million to $30 million in annual cash savings starting next year.

The Houston-based oilfield services company filed a definitive proxy statement with the Securities and Exchange Commission on Monday and began distributing it to holders. The redomestication requires approval at two separate meetings the same day – a Scheme Meeting and an Extraordinary General Meeting. Any votes cast at Weatherford's June 11 shareholder meetings will not carry forward. Shareholders must submit two proxy cards, one for each meeting.

The board unanimously backs the proposals, arguing that a U.S. domicile simplifies the company's organizational and regulatory structure. Weatherford estimates the restructuring, if completed this year, will help improve adjusted free cash flow conversion starting in 2027, according to the proxy statement.

Shareholders are directed to vote as soon as possible. Those needing assistance can contact Weatherford's proxy solicitor, Innisfree M&A Incorporated.

The company warned that the redomestication could be delayed or fail if it does not receive required shareholder and court approvals on time. Changes in tax laws or their interpretation in Ireland, the U.S., or other jurisdictions also pose a risk to realizing the expected benefits, Weatherford said.

Shareholders can access the proxy materials through the SEC's website or Weatherford's corporate site.