Spanish state-owned shipbuilder Navantia has reached an agreement to acquire all four shipyards owned by the century-old British shipbuilder Harland & Wolff, whose holding company went into receivership on September 27th.
Navantia will take over four shipyards belonging to the Harland & Wolff Group, located in Belfast, Arnish and Methil in Scotland, and Appledore in the southwest of England. The acquisition will save around 1,000 jobs.
The agreement, which is still subject to regulatory approvals, is expected to close in January 2025.Neither Navantia nor the U.K. government disclosed the purchase price.Navantia UK said the deal aims to strengthen the U.K.’s industrial capabilities in shipbuilding, defense, and offshore wind, while supporting a skilled workforce and a resilient domestic supply chain.
Navantia UK is currently leading the UK Fleet Solid Ship (FSS) program to build three supply ships for the Royal Navy Auxiliary Fleet. The project is being carried out at Harland & Wolff’s Belfast and Appledore shipyards, as well as Navantia’s Puerto Real shipyard in Spain.Navantia UK emphasizes that integrating Harland & Wolff’s facilities will help to ensure that the FSS program will be delivered on time.
Navantia is part of Spain’s National Industrial Participation Company (SEPI) and has expertise in shipbuilding and project management. The company also operates in the renewable energy sector, including offshore wind and green hydrogen, through its Navantia Seanergies brand.Navantia UK sees the acquisition as a step towards strengthening its presence in the UK. The impact on the UK shipbuilding industry will depend on the details of the final agreement and its implementation, with regulatory approvals a key determinant of the outcome.
With a history of over 150 years, Harland & Wolff is one of the oldest shipyards in the shipbuilding industry and is best known for building the Titanic. Harland & Wolff listed on AIM, due to escalating debt, and failed to get the British government export credit agency (UK Export Finance, UKEF) 200 million pounds of loan support, the shipyard in September re-entered into receivership for the second time in four years.