August 4, 2014 / 11:51 AM / 4 years ago

REFILE-Germany's Meyer Werft and Finnish state buy STX Finland shipyard

(Refiles to add name ‘Meyer’ to headline)

HELSINKI, Aug 4 (Reuters) - Germany’s Meyer Werft shipyard and the Finnish government announced their purchase of the Turku shipyard in southwestern Finland on Monday, helping it to win a billion euro ($1.3 billion) order for two cruise ships.

The shipyard’s current owner STX Finland, part of Korean trade and ship corporation STX, said separately that the Turku yard had won two cruise ship orders from TUI Cruises as a result of its new ownership.

The shipyard has suffered from a lack of orders in recent years, and in 2012 Finland’s government faced heavy criticism when it failed to provide a loan that would have helped the shipyard win a major contract.

On Monday Finland said the new vessel orders would bring major employment and a welcome boost for an economy struggling with weak exports and slow domestic consumption.

“The investors are committed to injecting a substantial amount of new equity to the new company, which will constitute a solid basis for further developing of the shipyard,” the government said in a statement.

The deal price was not disclosed. Meyer will have 70 percent of the yard and Finnish state the remaining 30 percent.

$1 = 0.7452 Euros Reporting By Jussi Rosendahl; Editing by Sophie Walker

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below