Singapore approves Korean takeover of Dyna-Mac

The Competition and Consumer Commission of Singapore (CCCS) has given its approval of Hanwha Group to acquire the remaining shares in Singapore-based shipbuilder Dyna-Mac for approximately $450 million, reported Reuters.

The CCCS has assessed that the proposed transaction, if effective, will not contravene the prohibition under section 54 of the Singapore Competition Act 2004, which prohibits mergers that are likely to substantially reduce competition in any market in Singapore.

Hanwha currently has a 25.4% stake in Dyna-Mac and if the acquisition proceeds. Hanwha Ocean and Hanwha Aerospace will make a cash acquisition through Hanwha Ocean SG Holdings, a special purpose vehicle in Singapore, to gain management control of Dyna-Mac. This transaction is scheduled to close by the end of 2024.

Dyna-Mac shipyard specialises in engineering, procurement, construction, onshore pre-commissioning, and commissioning of offshore modules and units such as FPSOs, FSOs, FLNGs, and FSRUs.

The company owns two offshore shipyards in Singapore and has joint ventures and partnerships with shipyards in China, Malaysia, and the Philippines.