Norway’s Seadrill Ltd has canceled a planned convertible bond issue and voluntary incentive payment offer after its shares dropped 5.4 percent, the company said after the market closed late Tuesday.

The world’s biggest offshore rig firm by market capitalization had planned to issue a $1 billion 2019 convertible bond with a voluntary incentive payment offer to convert the existing $650 million 2017 bond on Tuesday.

“Although the order book was covered, the adverse price movement led to an unattractive conversion price for the issue,” it said in a statement.

Seadrill, the crown jewel in shipping tycoon John Fredriksen’s business empire, said in a statement it would have a cash balance of approximately $1.5 billion by the end of July.

“In light of this strong liquidity position, the company did not view this transaction as a requirement, but rather as an opportunity,” it added, referring to a canceled bond issue.

The firm planned to use the proceeds from the new issue to fund its new-build program and for general corporate purposes.

Sundal Collier, BNP Paribas and Deutsche Bank were acting as joint bookrunners of the issue.

Seadrill turned gloomy in May about the prospects for the global drilling market, saying it expected rates for new-generation vessels to fall to $425,000-$475,000 per day, well below their peak of around $650,000 per day last year as oil firms cut capital spending to protect margins.

Until the situation improved, Seadrill has said it would not order any more new rigs from yards on top of 19 rigs it already has on order.