Fincantieri Signs Deal to Acquire Majority Stake in STX France

A view shows a section of the Oasis Class 4 at the STX Les Chantiers de l’Atlantique shipyard site in Saint-Nazaire, France, September 2, 2016. REUTERS/Stephane Mahe

Italian shipbuilding group Fincantieri on Friday signed an agreement to acquire a majority stake in STX France, operator of the 150-year-old shipyard in Saint-Nazaire, France, as the Italian shipbuilder looks to expand its already-sizeable footprint in the large cruise ship market.

Fincantieri said Friday it will pay euro 79.5 million for 66.66% of the share capital of STX France from its current shareholder STX Europe.

STX France’s Saint-Nazaire yard is a modern shipyard specializing in the design and engineering of a wide range of ships, but it is particularly well-known for its ability to build large cruise ships. In fact, in 2016 the yard delivered the world’s largest cruise ship, Harmony of the Seas, the third ship in Royal Caribbean’s Oasis-class. The yard is currently constructing a fourth Oasis-class ship, which is expected to be delivered in 2018.

“Through this industrial partnership, Fincantieri and STX France will create a global leader in all high-tech shipbuilding industry’s sectors. The perfect complementarity of Fincantieri and STX France cruise activities and products would allow the two companies to serve all the clients and end-markets and to generate value not only for the shareholders, but also for the employees and the respective subcontractors’ networks,” Fincantieri said in a statement Friday.

STX France has approximately 2,600 employees and a network of more than 500 subcontractors. In 2016 it has generated revenues of approximately euro 1.4 billion.

The French government aims to keep its 33 percent stake with blocking rights in STX France.