Fincantieri, Naval Group Create JV

Fincantieri and Naval Group signed the Alliance Cooperation Agreement, which sets out the operational terms for the incorporation of a 50/50 owned joint venture.

The agreement embodies the contents of the “Poseidon” project” and paves the way towards a broader alliance aimed at reinforcing their military naval cooperation as well as creating a more efficient European shipbuilding industry.

The agreement was signed by the CEOs of the two companies, Giuseppe Bono and Hervé Guillou, on board of the frigate “Federico Martinengo”, moored at the Naval Base of the Italian Navy in La Spezia. The vessel is part of the Italian-French FREMM program, which underlines the soundness of the twenty-year collaboration between the two countries, their industries and the national navies.

The agreement was signed by Fincantieri CEO Giuseppe Bono (left) and Naval Group CEO Hervé Guillou, on board of the frigate “Federico Martinengo”.Through the joint venture, Fincantieri and Naval Group will: share best practices between the two companies; jointly conduct selected R&D activities; • optimize procurement processes; and jointly prepare offers for bi-national programs and export markets.

Based on the agreement the company will be headquartered in Genoa with a subsidiary in Ollioules, France. The governance of the JV, as regulated in a shareholders’ agreement, envisages a Board of Directors of 6 members, 3 appointed by each company. For the first three-year term, Fincantieri will appoint the Chairman and the Chief Operational Officer, while Naval Group will appoint the Chief Executive Officer and the Chief Financial Officer.