Rolls-Royce Completes Sale of Commercial Marine Business
(Source: Rolls-Royce; issued April 01, 2019)
Rolls-Royce confirms that completion of the sale of our Commercial Marine business to Kongsberg of Kongsberg, Norway, took place on 1 April. The completion of the transaction, which was announced on 6 July 2018, follows recent clearance from the relevant regulatory authorities.
As announced on 17 January 2018, the naval marine gas turbine and USA based propeller operations of our former Marine business unit have already been consolidated within our Defence business.
Net proceeds after transaction costs and other adjustments are estimated to be around £350m to £400m. In 2018, Commercial Marine reported underlying revenue of £726m and an underlying loss of £35m.
Through the Bergen Engines operation of our Power Systems business and under the Rolls-Royce brand name, Rolls-Royce remains an important developer and manufacturer of diesel and gas medium-speed engines for a variety of markets including commercial marine and power generation. Kongsberg will, through a trading arrangement, continue to have access to Bergen Engines product.
Separately through our Power Systems business, Rolls-Royce remains a provider of high-speed engines for the commercial marine market, under the MTU brand name.
Kongsberg Completes Rolls-Royce Commercial Marine Acquisition
(Source: Kongsberg; issued April 01, 2019)
Innovative and proven design, propulsion and handling systems extend Kongsberg Maritime’s ‘The Full Picture’ portfolio with unified solutions for sustainable, safe and secure marine operations
Following European Commission approval, Kongsberg Maritime parent company Kongsberg Gruppen has today completed the acquisition of Rolls-Royce Commercial Marine (RRCM). Officially part of Kongsberg Maritime, RRCM will operate under the Kongsberg brand and the Kongsberg Maritime legal entity.
Kongsberg Gruppen announced its intention to acquire RRCM, an established and trusted global supplier of maritime technology and engineering products, in July 2018. With the unification of Kongsberg Maritime and RRCM, Kongsberg is represented in 40 countries, has more than 11,000 employees and an annual turnover of more than NOK 22 billion. A fleet of more than 30,000 vessels depends on the organisation’s combined expertise.
“I have looked forward to this day for a long time. Together we are now well positioned in the market and our ambition is to lead the development of the future maritime industry globally in close cooperation with customers and partners. We shall be the ocean space expert. We have spent a long-time planning and preparing, now the work of ensuring a successful integration begins,” says Geir Håøy, CEO of Kongsberg.
With RRCM, Kongsberg Maritime expands its global presence and customer proximity, supporting, empowering more sustainable, safe and secure marine operations for all vessel types through cutting-edge operational technology including automation, navigation and control systems. RRCM’s expertise also strengthens KONGSBERG’s leadership in maritime digitalisation, ship intelligence and enabling technologies for autonomous vessels.
“Our goal is to further develop our track record of innovation and dedication in helping our customers meet the evolving challenges of the maritime industry be it through cutting-edge autonomy and digital solutions or highly reliable power and propulsion systems,” said Bård Bjørløw, EVP Global Sales and Marketing, Kongsberg Maritime.
“As we continue to create new future-proof answers to today’s challenges, we’re confident that that integration possibilities of the next generation of The Full Picture will unlock new efficiencies and contribute to sustainability," adds Bård Bjørløw.
“I am looking forward to welcoming 3,600 highly skilled new colleagues. Together we will work for a fast and smooth integration of people, cultures, products, solutions and innovative work. Through world-class technology, customer focus, the power to innovate and the willingness to change, we will deliver the results we have promised,” adds President of Kongsberg Maritime Egil Haugsdal.