DCNS Mulls Stake in STX France

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By MarEx 2016-10-12 20:10:56

The head of the French state-controlled naval defence group DCNS said on Wednesday it was "closely studying" a possible stake purchase in STX France, a shipyard subsidiary of the struggling South Korean conglomerate STX Corp.

Herve Guillou said DCNS was not however looking at the option of taking a majority stake.

The French state holds a 33 percent minority stake in STX France, which runs naval shipyards in Saint-Nazaire on the west coast. Loss-making STX Corp is in administration.

One issue of importance from France's point of view is the shipyard in Saint-Nazaire, which is a big local employer with a healthy order-book for building of cruise liners.

Dutch group Damen shipyards and Italian group Fincantieri have also been hinted to be potential buyers.

The French finance ministry said on Monday the government was not planning to take a majority stake in STX France but that it would retain its minority blocking stake and expected a say in any ownership change.

The French state owns 62.5 percent of DCNS and Thales a further 35 percent, according to DCNS's website.