Rolls-Royce has announced that it has signed an agreement to sell its commercial marine business to Kongsberg. Rolls-Royce’s marine sector has around 3600 staff, based mainly in the Nordic region, while Kongsberg is active in oil and gas, merchant shipping, defence and aerospace sectors.
The move follows a strategic review by Rolls-Royce of its commercial marine operations announced in January 2018. The sale includes propulsion, deck machinery, automation and control, a service network spanning more than thirty countries and ship design capability, which to date has seen around 1000 Rolls-Royce-designed vessels delivered to offshore, cargo, passenger and fishing vessel customers worldwide.
Kongsberg will, through a trading arrangement, continue to have access to products from Bergen Engines, which remains part of Rolls-Royce Power Systems.
‘The acquisition of Rolls-Royce Commercial Marine makes us a more complete supplier to the maritime industry,’ said Kongsberg chief executive and president Geir Håøy.
‘The maritime industry is becoming increasingly globalised and is undergoing considerable technological and market driven changes. With this acquisition we will strengthen our strategic position with shipowners, shipyards and other customers and partners.’
According to Mikael Makinen at Rolls-Royce Commercial Marine, this development marks the start of a new horizon for the commercial marine business.
‘This deal comes at a time when the maritime industry is at the dawn of a new and exciting era where digital and electrical technologies will transform shipping. Rolls-Royce has been responsible for leading many of those technological advancements, and with combination of great people, market-leading technology and a desire by Kongsberg to take this business to the next level, I am sure that this business will prosper in the years to come,’ he said.
The sale has been approved by the boards of both Rolls-Royce and Kongsberg and is expected to close in the first quarter of 2019, subject to clearance from the regulatory authorities.
