By
Rebecca Gibson |
Genting Hong Kong (GHK) is to acquire Nordic Yards’ three shipyards in Wismar, Warnemunde and Stralsund, Germany for €230.6 million.
GHK, which also purchased German shipyard Lloyd Werft in 2015, has acquired the three additional yards to ensure it has the expertise and capacity to construct newbuilds for its three cruise brands – Crystal Cruises, Star Cruises and Dream Cruises – over the next decade. This will help to reduce challenges associated with pricing and delivery timings.
All four yards will be managed as part of the Lloyd Werft Group.
“The rapid growth of the world cruise industry, especially in China, has led to cruise ship order book reaching an all-time high,” said Tan Sri Lim Kok Thay, chairman and CEO at GHK. “In order to ensure that the company can build the required number of cruise ships in the next decade for our global fleet expansion, it is strategic that we acquired shipyards that can build our cruise ships in a timely basis and in a more cost effective manner.”
Nordic Yards’ three yards all have covered drydocks and building halls, enabling cruise ships to be constructed regardless of weather conditions. Wismar has a 340m long drydock, while Warnemunde’s drydock measures 320 metres in length, making both capable of building cruise ships larger than today’s biggest vessels. The Stralsund shipyard has a ship lift to launch cruise ships and mega yachts up to 270m long. GHK also plans to invest in all three shipyards to ensure they have a combined steel fabrication capacity of around 150,000gt a year.
“With all the yards situated in Germany, a country with a long tradition of efficiency in building high quality and innovative cruise ships and mega yachts, the Lloyd Werft Group, with approximately 1,700 experienced management and workers, is well placed to succeed as one of the best cruise and mega yacht shipbuilding companies in the world,” said Tan Sri Lim Kok Thay. “Germany is also where the largest cluster of marine equipment suppliers are located and has excellent government maritime coordination policies. The investment in the Lloyd Werft Group will have good returns from the ten-year planned order book, fits perfectly with the company’s global cruise strategy and is in the long term interest of the company.”