Hanwha headquarters in Seoul. Hanwha Group has submitted a nonbinding offer to acquire 100% of Austal USA’s operating business and assets. Photo courtesy of Hanwha
Aug. 11 (Asia Today) — Hanwha Group has submitted a nonbinding offer to acquire Austal USA, the American business of Australian shipbuilding and defense company Austal, as the South Korean conglomerate seeks to further expand its U.S. shipbuilding operations.
Hanwha Defense USA submitted the nonbinding proposal for 100% of Austal USA’s operating business and assets, Hanwha said Tuesday.
The proposal values the business at between $1.05 billion and $1.2 billion on a cash-free, debt-free basis, with the top end equivalent to roughly 1.7 trillion won ($1.2 billion).
“Hanwha considers making a significant contribution to rebuilding the U.S. shipbuilding industry a top priority and is exploring various ways to expand its business foundation in the United States,” the company’s U.S. defense unit said.
Hanwha has rapidly increased investment in the American shipbuilding market.
In 2024, it entered the U.S. sector by acquiring Philly Shipyard in Philadelphia for $100 million.
It has since continued investing to expand local production capacity.
Hanwha also acquired a 19.9% stake in Austal, making it a major shareholder in the Australian company.
Austal USA operates a shipyard in Mobile, Ala., and supplies vessels to the U.S. Navy, U.S. Coast Guard and other customers.
If the acquisition is completed, Hanwha would add another U.S. production base to its Philadelphia operation and significantly expand its ability to participate in American naval vessel programs.
Hanwha said it will conduct due diligence on Austal USA’s business and financial condition before determining whether to proceed with a final acquisition.
Specific transaction terms would also be reviewed during that process.
— Reported by Asia Today; translated by UPI
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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260812010003783
