Babcock International Group PLC (“Babcock” or “the Group”) announced that it has entered into a Sales and Purchase Agreement to acquire the remaining 50% interest in its Australian Naval Ship Management (NSM) joint venture from its long-term joint venture partner in Australia, for a consideration of AUD60 million (approximately £32 million). The acquisition is subject to customary approvals.
The NSM joint venture was established in 2012 to maintain the Royal Australian Navy’s ANZAC class frigates. Today the business has evolved into a strategic maritime sustainment partner to Australia, supporting not only the Anzac class under the Warship Asset Management Agreement, but two Canberra Class Landing Helicopter Docks (LHD) and 12 LHD Landing Craft. NSM has approximately 300 employees.
future maritime programs
The acquisition will allow Babcock Australasia, one of the Group’s focus countries, to further strengthen the breadth of its support to the Australian Defense Force’s maritime capability and to provide additional capability for Australia’s current and future maritime programs.
Babcock CEO David Lockwood said: “We’re very proud of the success of NSM since its formation nearly a decade ago. We look forward to continuing to provide innovative and highly skilled support to the Australian Defense Force as we further develop our presence in this important market.”