Shelf Drilling, the world’s largest owner of shallow water rigs, made its debut on the Oslo stock exchange on June 25, but its shares fell 2.6% from their IPO price.

The Dubai-based company’s shares began trading in Oslo four years after it abandoned plans to list in London in the wake of an oil price downturn.

Its shares traded at 63.64 Norwegian crowns (US$7.86) by 7:12 CT, below its IPO price tag of 65.35 crowns (US$8.06).

Shelf Drilling raised about $225 million in the offering, the company said on June 22, the latest drilling firm to list in Oslo to raise capital.

CEO David Mullen told Reuters on June 25 the company expected to see higher rig rates in 2019 and more consolidation of the fragmented market.

Mullen said he expected utilization of marketed rigs to rise to near 80% by the end of this year from 74% currently, giving rig owners more leverage to ask for higher prices.

“So going into 2019 we should see some pricing power, and some real price movements,” he said in an interview, adding that the Middle East, North Sea and West Africa were the most promising regions for jackup rigs.

About 80% of Shelf Drilling’s current business relates to drilling extra wells at existing oil fields to help to drain the reservoirs or to repair existing wells.

As the recovery in crude oil prices increases oil companies’ interest in offshore exploration and field developments, Mullen plans to acquire more so-called premium rigs, better suited to search for new resources than standard specification rigs.

“Today we have eight premium jackups and we want to see that grow ... I would like to ultimately grow to a fleet of 15, maybe 20, premium jackup rigs,” Mullen said.

The company has said it planned to use part of the IPO proceeds to buy a new premium rig.

Mullen also said he expected to see more consolidation in the drilling rig market between small players, but also some big deals.

“I think you are going to see some big mergers ... but we are more interested in acquiring assets, not so much interested in doing broad M and A deals,” he said.

Copenhagen-listed conglomerate A.P. Moller-Maersk is expected to try to sell its drilling arm, Maersk Drilling, but has not found a buyer so far.

Mullen said Shelf Drilling itself was not seeking a broad deal with Maersk, but could be interested in buying some of the Danish company’s rigs.