by Staff Writers
Stockholm (AFP) July 22, 2014
Swedish defence and aeronautics group Saab said Tuesday it had completed the acquisition of a submarine shipyard in Sweden owned by German heavy industry giant ThyssenKrupp.
Saab paid 340 million kronor (36.8 million euros, $49.6 million) for the ThyssenKrupp Marine Systems subsidiary, which the Swedish company said would come from existing funds.
"The impact of the transaction on Saab's results for 2014 is not considered to be significant," it said in a statement.
ThyssenKrupp Marine Systems has around 850 employees and counts the navies of Sweden, Australia and Singapore among its clients.
"The acquisition strengthens Saab's position as a comprehensive supplier of naval military systems," Saab said.
The subsidiary designs, builds and maintains not only submarines but also surface vessels and submarine rescue vehicles.
Sweden is one of the world's biggest arms exporters per capita, and Saab is the country's main defence equipment company.
The business unit, renamed Saab Kockums, is expected to keep its operations in the southern Swedish ports of Malmoe, Karlskrona and Muskoe.
The acquisition "makes Saab one of few companies in the world with the ability to develop, produce and deliver comprehensive defence solutions for air, land and sea", chief executive Haakan Buskhe said when the company published its second-quarter results last week.
The negotiations between the companies were first announced in April, when they signed a memorandum of understanding.
Naval Warfare in the 21st Century
|The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement All images and articles appearing on Space Media Network have been edited or digitally altered in some way. Any requests to remove copyright material will be acted upon in a timely and appropriate manner. Any attempt to extort money from Space Media Network will be ignored and reported to Australian Law Enforcement Agencies as a potential case of financial fraud involving the use of a telephonic carriage device or postal service.|