Wärtsilä has acquired the global ship design group Vik-Sandvik, a leading independent group providing design and engineering services to ship owners and the shipbuilding industry. Through the acquisition Wärtsilä hopes to become a leading provider of ship design services.
The value of the acquisition is EUR 132 millions, with an additional maximum sum of EUR 38 millions to be paid based on the performance of the business over the next three years. In 2007, Vik-Sandvik’s turnover was EUR 55 millions with a good profitability. The number of employees is 410. All personnel – including the management – will continue as Wärtsilä employees.
Vik-Sandvik will be integrated into Wärtsilä Ship Design within Ship Power. Arne Birkeland, 42, will be the head of the Ship Design unit. Birkeland joined Wärtsilä in 2006, and is currently the President of Wärtsilä Norway AS, a Vice President of Wärtsilä Ship Power Technology, and a member of the Ship Power Management team.
The acquisition is subject to relevant regulatory approvals, which are expected during the third quarter of 2008.
Wärtsilä’s Goals
This acquisition is a major step in Wärtsilä’s strategy to strengthen its position as a total solutions provider. By combining ship design capability with its existing offering in propulsion systems and automation, Wärtsilä has further potential in new lifecycle services. Wärtsilä’s goal is to become the leading provider of ship design services in various segments.
“Through this major acquisition, we also aim to take a leading position in ship design as an independent activity. We also strongly believe that this new and innovative way of combining ship design know-how and equipment solutions will make us a stronger partner when working together with other ship designers,” says Jaakko Eskola, Group Vice President, Wärtsilä Ship Power.
Vik-Sandvik
Vik-Sandvik specializes in the design of high-end offshore vessels, as well as product and chemical tankers and more specialized vessels. It has for decades been recognised in the offshore market for its innovative designs and has achieved a strong global market position. As a part of Wärtsilä, the company has great potential for strong global growth and expansion into new market segments.
The company has its headquarters in Fitjar, in Western Norway, and it has operations in Norway, Poland, India, Brazil, Serbia, Bulgaria, Turkey, Russia and China. Vik-Sandvik has up to now been wholly owned by the Sandvik family.
