Last checked at 1 Apr 2019 10:24
1 April 2019
ROLLS-ROYCE COMPLETES SALE OF COMMERCIAL MARINE BUSINESS
Rolls-Royce confirms that completion of the sale of our Commercial Marine business to KONGSBERG of Kongsberg, Norway, took place on 1 April. The completion of the transaction, which was announced on 6 July 2018, follows recent clearance from the relevant regulatory authorities. As announced on 17 January 2018, the naval marine gas turbine and USA based propeller operations of our former Marine business unit have already been consolidated within our Defence business.
Net proceeds after transaction costs and other adjustments are estimated to be around £350m to £400m. In 2018, Commercial Marine reported underlying revenue of £726m and an underlying loss of £35m.
Through the Bergen Engines operation of our Power Systems business and under the Rolls-Royce brand name, Rolls-Royce remains an important developer and manufacturer of diesel and gas medium-speed engines for a variety of markets including commercial marine and power generation. KONGSBERG will, through a trading arrangement, continue to have access to Bergen Engines product.
Separately through our Power Systems business, Rolls-Royce remains a provider of high-speed engines for the commercial marine market, under the MTU brand name.
About Rolls-Royce Holdings plc
1. Rolls-Royce pioneers cutting-edge technologies that deliver the cleanest, safest and most competitive solutions to meet our planet's vital power needs.
2. Rolls-Royce has customers in more than 150 countries, comprising more than 400 airlines and leasing customers, 160 armed forces, 4,000 marine customers including 70 navies, and more than 5,000 power and nuclear customers.
3. Annual underlying revenue was £15 billion in 2018, around half of which came from the provision of aftermarket services.
4. In 2018, Rolls-Royce invested £1.4 billion on research and development. We also support a global network of 31 University Technology Centres, which position Rolls-Royce engineers at the forefront of scientific research.
5. The Group has a strong commitment to apprentice and graduate recruitment and to further developing employee skills.
For further information, please contact:
Investors:
Jennifer Ramsey
Head of Investor Relations
+44 (0) 7825 903206
jennifer.ramsey@rolls-royce.com
Media:
Richard Wray
Director of External Communications
Rolls-Royce plc
Tel +44 (0) 20 7227 9163
richard.wray@rolls-royce.com
www.Rolls-Royce.com