Fincantieri Agrees to Acquisition to Grow Position in Offshore Engineering
Fincantieri announced that it has agreed on the terms for the acquisition of offshore engineering company Remazel Engineering, which will provide the opportunity for new growth opportunities in the offshore sector. With this deal, the Italian shipbuilding group will be following others in the shipbuilding industry which look to the emerging opportunities in offshore to help offset the downturns in other segments of shipbuilding.
Fincantieri reported on December 1 that it has set the main terms and conditions for the acquisition of 100 percent of the shares of Remazel Engineering from Advanced Technology Industrial Group. The purchase price is expected to be finalized by year-end and will be calculated based on a €78 million enterprise value, subject to adjustments, and the closing is expected in the first quarter of 2024.
“This transaction represents the first important step of the development strategy in the offshore and subsea technological operations sector, while favoring the consolidation in Italy of one of the outstanding players in the Italian industrial world,” said Pierroberto Folgiero, CEO of Fincantieri. The distinctive engineering and technological expertise of Remazel, a leader in its sector, enables the group to consolidate its role as an integrator of complex systems and as a partner for our customers throughout the life of naval vessels and their most value-added equipment.”
According to the companies, the deal will permit the shipbuilding group to expand its expertise with
highly specialized capabilities in the design and supply of cutting-edge top-side equipment. In particular, Fincantieri highlights that it intends to speed up the growth of its technological, engineering, and construction expertise in the offshore and subsea sectors.
“Our experience in the offshore sector is a valuable asset, and we believe that collaborating with a partner like Fincantieri can create new synergies, broadening the impact of our solutions at the international level to address emerging challenges in the context of the energy transition. We look with confidence to the growth opportunities that this possible acquisition could offer,” said Andrea Rosa, CEO of Remazel Engineering.
Fincantieri already has a large orderbook and a more diversified base than many of its peers. In the first nine months of 2023, the company delivered a total of 17 ships from 10 shipyards of which four were cruise ships, while they also delivered three naval ships and 10 in the offshore and specialized sector. Similarly, the group’s orderbook has 22 cruise ships over the next five years and beyond while they also have 34 naval ships and 30 offshore and specialized vessels on order.
The group looks to use the acquisition of Remazel to increase its role as a partner of the major international marine and subsea energy operators. Remazel headquartered in Italy, also has operations in Brazil and China. The company is particularly focused on the design and supply of highly complex systems for handling, lifting, and anchoring, as well as on launch and recovery solutions for underwater vessels particularly used in the energy transition areas of the offshore segment, in addition to the production of critical gas turbine components.
Remazel’s current positioning Fincantieri says will permit it to strengthen its position in fast-growing sectors, such as underwater operations and offshore wind, covering the most value-added activities in the value chain. The underwater sector in particular represents a new geopolitical arena of great strategic importance in both the civil and defense domains.
While Asian shipyards have competed in the offshore and topside segments, European shipyards are looking to it as a growth opportunity. Meyer Group just reported the launch of new companies focusing on offshore converters for wind energy installations. Chantiers de l’Atlantique is also exploring new opportunities in the offshore segments as the markets continue to grow. The companies highlight the EU and individual country's efforts at transforming the energy sector as creating strong opportunities for their construction and fabrication skills.