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Hanwha Defense USA seeks to acquire Austal USA in $1.2B potential deal
Breaking Defense • • business
Key Points:
- Hanwha Defense USA has made a preliminary, non-binding offer to purchase Austal USA, contingent on due diligence of Austal's operations and financials.
- Austal's board has approved Hanwha to conduct due diligence, indicating a willingness to consider selling its US arm if the price is right, with a proposed price range of $1.05 to $1.2 billion on a cash and debt-free basis.
- The offer excludes Austal’s core Australasian operations and publicly traded shares, ensuring the Australian business and sovereign shipbuilding mandate remain intact.
- Hanwha previously attempted a full takeover of Austal in April 2024 but withdrew the bid in September due to regulatory approval concerns.
- Hanwha recently acquired Philly Shipyard, which builds commercial and military vessels, including ships supporting the Pentagon’s missile defense systems, while Austal USA operates shipbuilding facilities in Mobile, Alabama, producing vessels for the US Coast Guard and Navy.
