Transocean Is Said to Discuss Merger With Rival Seadrill (2)

Transocean Ltd. is in talks to merge with rival offshore drilling contractor Seadrill Ltd., according to people familiar with the matter, just as oil explorers around the world are returning to the sea.

Shares of Seadrill jumped about 10% after the close of regular trading in New York while Transocean’s were up about 3.7%.

Discussions are ongoing about the potential structure of a combination, said the people, who asked to not be identified because the details are private. A final decision on pursuing a deal hasn’t been made and the companies could opt to remain independent, they said.

A ...