Aker Yards ASA sells seventy percent of the ownership in three of the yards within its business area Merchant Vessels to FLC West, a Russian owned investment company. Aker Yards receives 291.9 million euros in payment from FLC West. The new jointly owned unit will deliver modern vessels to meet the growing demand by Russian companies in hydrocarbons exploration, production and transportation for specialised ships.
FLC West buys seventy percent ownership in the Norwegian based company Aker Yards Ukraine Holding AS, which in turn will own one hundred percent of the yards in Nikolaev, Wismar and Warnemünde. Aker Yards will remain as owner of thirty percent of Aker Yards Ukraine Holding AS.
FLC
FLC is a Russian state controlled investment company with 1.5 billion US dollars in leasing portfolio. The company has been established to invest in industries of strategic importance. In the interest of the Russian Federation, FLC has recently also become heavily involved in developing of the Russian shipbuilding and shipping industry. FLC West is located in Luxembourg, and is owned fifty percent by FLC. The remaining fifty percent is owned by the private Cyprus investment company Almiar Investment Ltd, which in turn is owned by FLC private shareholders.
Demand for Specialised Vessels
Increased international trade between Russia and international markets, combined with extensive offshore oil and gas development plans in arctic regions with harsh environment, results in a growing need for more specialised vessels. The three shipyards in Aker Yards Ukraine Holding AS will through the new ownership model be in a strong position to compete for contracts for building merchant vessels for Russian operators.
No Change in Operations
Aker Yards Ukraine Holding AS will continue to be based in Norway with headquarters in Oslo, and the company will later be renamed. Tom Einertsen, currently President of Aker Yards’ business area Merchant Vessels will become CEO of the company. There are no planned changes in management, organisation, number of employees, pensions or benefits at the involved yards as a result of the sale. Also, there are no changes to the execution of ongoing contracts and order backlog as a result of the new ownership model.
The transaction is expected to be completed within the summer of 2008. The agreement is pending on approval from relevant authorities, including competition authorities in Germany and Ukraine.
