Romania becomes majority owner of Daewoo Mangalia shipyard

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Romania has finalized the transaction with Dutch group Damen Shipyards which made it majority shareholder in Daewoo Mangalia Heavy Industries (DMHI), the Romanian economy ministry said.

With extensive experience in shipbuilding and shipyard management, Damen will take over operational control, the economy ministry said in a statement.

Romania has reached an agreement with Damen to become majority shareholder in DMHI by acquiring a 2% stake in the shipyard held by the Dutch group in March this year.

“I’m glad to announce the completion of the deal at Mangalia yard exactly four months after I publicly announced that we have solved a blockade that has lasted for too long. Now we are optimistic about the future of the yard. I am confident that the Dutch partner will contribute to the re-launch of the site and to its development,” economy minister Danut Andrusca said in the statement.

In November, Damen entered into an agreement with Daewoo Shipbuilding & Marine Engineering (DSME) to buy its 51% share in DMHI for an undisclosed sum.

However, the new agreement between Romania and Damen stipulates that state-owned 2 Mai S.A Mangalia will renounce its preference rights on the shares held by DSME in DMHI, while Damen will transfer a 2% stake to 2 Mai S.A, the economy ministry said last week.

DMHI was established in 1997 as a joint venture between South Korea’s Daewoo Shipbuilding & Marine Engineering and Romania’s 2 Mai Mangalia Shipyard with Daewoo owner of 50.99% shareholding interest. The other shareholders of the joint venture were 2 Mai Mangalia Shipyard, with 48.99%, and three Korean investors.

The DMHI shipyard, spreading over an area of 980,000 sq m on the Black Sea coast, has three dry docks with a total length of 982 metres and 1.6 kilometres of berthing space.

Damen already owns a shipyard in Romania, in Galati, a port city on the Danube river, which is currently the group’s largest shipyard. Since joining Damen in 1999, the Galati shipyard has developed into an efficient production facility with a significant output of many hundreds of vessels and structures.

Damen Shipyards Group operates 33 shipbuilding and repair yards, employing 9,000 people worldwide. Damen has delivered more than 6,000 vessels in more than 100 countries and delivers some 180 vessels annually to customers worldwide.

(Source: SeeNews)

Sea News, July 25