EU allows merger of TKMS and Abu Dhabi Mar
01 Sep 2010
The European Commission has allowed the proposed merger of Abu Dhabi Mar and Thyssen Krupp Marine Systems (TKMS) in the areas of construction and repair of civil and military vessels.
The merger raises no competition concerns although there might be a slight overlap in the market for mega-yachts. The merger will be implemented in two steps: first, Abu Dhabi Mar acquires the civilian shipbuilding division of TKMS, including the shipyard Blohm + Voss in Hamburg, and the civilian institutions of the German shipyard HDW Gaarden in Kiel. Abu Dhabi MAR will also acquire an 80% stake in each of Blohm + Voss Repair and Blohm + Voss Industries, both of Hamburg.
In the second phase, Abu Dhabi Mar and TKMS will establish a 50:50 joint venture strategic partnership controlled by two companies for the design and program management of surface naval vessel shipbuilding. The submarine business of TKMS is not affected by the transaction.
