Fincantieri’s Vard gets a double order
Letter of intent for 2 special cruise ships for Viking
Vard, a subsidiary of Fincantieri, has signed a Letter of Intent for the design and construction of 2 special cruise vessels for Viking, with an option for 2 more vessels, with deliveries scheduled in Norway in 2Q 2021 and 2Q 2022 respectively. The contract value is equal to 460 million euro; the parties intend to enter into final contract by mid-2018.
The project, totally innovative, will be developed by Vard Design in close cooperation with the customer, according to the highest safety and reduction of the environmental impact standards, drivers which have increasingly greater weight also in the cruise sector.
Starting from 2012, Fincantieri has received from the same company orders for 10 units, 4 of which already delivered, with remaining ships to be delivered by 2023. Last March, Fincantieri and Viking have reached an agreement for further 6 ships, which expand the horizon of the partnership until 2027.
The Singapore Exchange has no objection to the delisting of yard group Vard Holdings provided this is approved by the group's shareholders; majority shareholder Fincantieri Oil & Gas announced a renewed bid to privatise the yard group in a delisting proposal announced on 13 November 2017.
Fincantieri last made an offer to privatise Vard in November 2016. Vard said Fincantieri intends to vote all shares it owns, representing 83.06 per cent, in favour of the delisting proposal at an extraordinary general meeting (EGM) to be convened with minority shareholders. The delisting resolution will be passed unless shareholders holding 10% or more vote against it.
One of the few cruise lines able to offer two types of cruising in one trip, run by Torstein Hagen, Chairman, Viking has announced several 2019 itineraries that combine time on both river and ocean cruise ships. The first of these sailings, on the Rhine River to a coastal Norwegian fjord cruise, debuts in June 2018 and will also be offered June 2019.
The Grand European & Viking Fjords sailing will be offered May 26, 2019, and June 2, 2019. The 22-night itinerary will cruise the Danube and Rhine rivers on a Viking Longship, running from Budapest to Amsterdam where passengers will board a Viking Ocean ship and sail a Norwegian fjords cruise that stops in Stavanger and Flam before ending in Bergen.
Also, Fincantieri Australia announced that two South Australian shipbuilders have each been awarded a contract to build cruise ship blocks as part of the Italian shipbuilder’s start-up of local operations. MG Engineering in Adelaide has been selected to build two blocks and Ottoway Engineering in Whyalla has been selected to build one block. The blocks will be built by mid-2018 and with Australian steel.
Fincantieri is tendering for Australia’s next major Naval program SEA 5000 Future Frigates program. With this initiative, as well as other test orders for mechanical equipment, work-force preparation and qualifying Australian supply chain, Fincantieri will be ready to start construction of nine frigates for the Royal Australian Navy in Adelaide in 2020 with an Australian shipbuilding workforce.