South Korean conglomerate Hanwha Group has invested $100 million in Philly Shipyard Inc. in Philadelphia to acquire a 100 percent stake in an American shipbuilding company, Yonhap news agency reported June 21.
It should be noted that this purchase will mark the entry of the South Korean company into the American shipbuilding industry market. According to Hanwha Group, the acquisition involves two of the group’s defense divisions, Hanwha Systems Co. and Hanwha Ocean Co.
Founded in 1997, Philly Shipyard is a subsidiary of Norwegian industrial investment company Aker ASA. Since 2000, it has served approximately half of the large commercial Jones Act courts in the United States.
The shipyard not only builds large commercial vessels, including oil tankers and container ships, but also training ships for the US Maritime Administration (MARAD).
Hanwha Group said it plans to use one of the largest US shipyards, Philly Shipyard, for shipbuilding, maintenance, repair and operations, taking advantage of the US naval market, which needs construction capacity additional naval due to manufacturing shortage for the navy.
Defense IT and electronics division Hanwha Systems is seeking to collaborate with the American shipbuilder to develop civilian merchant ships capable of autonomous operations.
The company’s advanced technologies in unmanned maritime systems, naval radars and sensors will be integrated into commercial vessels and special purpose vessels, such as unmanned underwater vehicles.
Hanwha Ocean plans to diversify its sales by leveraging Philly Shipyard’s expertise in medium-sized tankers and container ships. The acquisition is expected to expand Hanwha Ocean’s market presence by establishing an overseas manufacturing base and increasing orders in these segments.
“The opportunity to partner with Philly Shipyard, a major shipbuilder with a rich history, is an exciting strategic opportunity that will allow Hanwha Systems to bring its next-generation naval systems and related technologies to the U.S. market.”said Eo Seong-chul, CEO of Hanwha Systems.
Source: Rossa Primavera
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