Philly Shipyard ASA entered into a share purchase agreement with both Hanwha Systems and Hanwha Ocean to sell the business.
The transaction will result in the company selling all of its business against receiving a cash consideration of $100 million. Philly Shipyard is a leading U.S. shipbuilder that is majority-owned by Aker Capital AS, which in turn is wholly owned by Aker ASA.
“After two decades of stewardship, it is with great honor that we transition the ownership from Aker to Hanwha. Recognized as a global leader, Hanwha brings a wealth of sophisticated shipbuilding experience that will enable Philly Shipyard to realize a grander vision for its employees and customers. Reflecting on the past 17 years, I am personally grateful for the opportunity to have worked side by side with the people of Philly Shipyard and eagerly anticipate witnessing the shipyard’s continued growth and success in the future.” Kristian Rokke, chairman of Philly Shipyard ASA, said.
The transaction is pending approval by CFIUS (Committee of Foreign Investments in the United States) and other regulatory approvals. The company’s board of directors has approved the Transaction.
The parties expect that the transaction will close during the fourth quarter of 2024.
Hanwha Systems is the representative company of the Republic of Korea ranging with world-class companies in various business areas based on avionics and space, security and safety, and information systems service.
Hanwha Ocean is a globally renowned maritime and shipbuilding company with 50+ years of shipbuilding experience, including a wide range of naval ships that include submarines, warships other naval support vessels, as well as commercial vessels, such as LNG Carriers and Very Large Crude Oil Carriers. Hanwha Ocean’s Okpo shipyard is the second largest and one of the most efficient shipyards in the world.