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Kleven Verft Split Into Three Companies to Complete Bankruptcy

Kleven Verft split into three companies in the bankruptcy
The Hurtigruten cruise ship was one of those that uses advanced technology from Kleven (file photo)

By The Maritime Executive 07-15-2020 07:05:42

Additional details are emerging on the sale of Norway’s Kleven Verft. Divisions of the bankrupt shipbuilder are being sold independently in an effort to maintain employment and the operations.

It was announced yesterday that the shipbuilding operations had been sold to Green Yard, a Norwegian company currently focused on ship recycling. Green Yard said that it plans to maintain and grow the shipbuilding operations.

Following that agreement, the employees of Kleven Maritime Technology (KMT) have agreed to buy their division of the company from the bankruptcy officials. According to the announcement, the company which focuses on marine technology will continue its operations uninterrupted under the leadership of Trond Liavaag.

The KMT Group had helped Kleven to develop advanced technologies in recent years. For example, Kleven had recently built two hybrid cruise ships for Hurtigruten that use the world’s largest battery power system for power. 

KMT said that its operations were profitable and that it had only been included in the bankruptcy because of its parent company. In addition to its work with Kleven Verft, KMT has a large external customer base in addition to Kleven Verft. KMT has several assignments from Hurtigruten as part of a major rebuilding project and is also working with the German yacht builder Lürssen on a superyacht project. The management team said that their goal is to increase the scope of the company.

In addition, Kleven Marine Contracting, which supplied staffing to the shipyard and customers was also sold independently of the shipyard. The contracting business, which employed approximately 225 of the 400 people in total at Kleven was sold to the Langset group.

The three independent transactions were seen as the best opportunities to maintain the operations of the bankrupt group. It is anticipated that they will continue to work together but under independent ownership will also have the opportunity to grow by focusing on their operations.