Provides Additional Capability for Current and Future Programmes
Babcock International announced on 15 February that it is acquiring the remaining 50% interest in its Australian Naval Ship Management (NSM) joint venture (JV).
The company stated that it entered into a sales and purchase agreement with its long-term joint venture partner in Australia, UGL, for A$60 million ($49.6 million), adding that the acquisition is “subject to customary approvals”.
NSM, which has about 300 employees, was initially established in 2012 to maintain the Royal Australian Navy’s (RAN) Anzac class frigates, but the business has evolved into a strategic maritime sustainment partner to Australia, supporting not only the Anzac class – under the Warship Asset Management Agreement – but also two Canberra class landing helicopter docks vessels and 12 landing craft.
“The acquisition will allow Babcock Australasia, one of the group’s focus countries, to further strengthen the breadth of its support to the Australian Defence Force’s maritime capability and to provide additional capability for Australia’s current and future maritime programmes,” the company stated. Babcock CEO, David Lockwood, was quoted as saying that the company looks forward to further developing its presence in this market.
For the fiscal year that ended on 31 March 2021, NSM reported a revenue of A$254 million.
Gabriel Dominguez in Singapore for MON
