Quebec Government Ok’s Sale of Davie Yards, Canada

The Quebec government has approved the sale of shipbuilder Davie Yards Inc. and a new owner of the Shipyard has been confirmed. Cecon, who has three large offshore vessels under construction at the yard, has now received confirmation that the new owner, a British-Monaco company Zafiro Marine, has entered into a firm agreement to purchase the Davie Yards in Quebec Canada.

The closing of this purchase is expected to take place within the coming two weeks.

Negotiations on contracts to complete Cecon’s three vessels have already started with the new owners of the yard, and all agreements in this respect, are expected to be completed within the coming weeks.

Last year a joint venture composed of SNC-Lavalin, ULG (Upper Lakes Group) and Daewoo Shipbuilding and Marine Engineering (DSME) acquired Davie Yards in order to bid for a portion of the $40 billion contract known as the National Shipbuilding Procurement Strategy. However, after Irving Shipbuilding and Vancouver Shipyards were selected, over Davie Yards, to build Canada’s next generation of warships and coast guard vessels Upper Lakes decided to sell its stake in the Shipyard.

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Shipbuilding Tribune Staff, November 7, 2012