Hanwha Group has proposed acquiring Austal USA as part of its US operations. The reported move aims to secure the Mobile shipyard and expand US warship production capacity.
Hanwha Defense USA has publicly disclosed its proposal to acquire Austal USA, outlining a strategy to strengthen shipbuilding capacity in the United States. The acquisition proposal is non-binding, and is expected to lead to final negotiations following due diligence and regulatory approvals.
Austal USA operates a shipyard in Mobile, Alabama, where it builds vessels for the US Navy and Coast Guard as well as modules for nuclear-powered submarines. In San Diego, it conducts maintenance, repair and overhaul operations using a 9,000-ton-class floating dry dock, while in Charlottesville it operates an advanced development center.
Hanwha has proposed an acquisition price of $1.05 billion–$1.2 billion. The proposal is non-binding and has no legal force. Progress on the transaction will require approvals from CFIUS and DCSA, as well as procedures including Hart-Scott-Rodino (HSR) merger review.
Hanwha is already pursuing the acquisition of control of Austal and is exploring additional acquisitions of local shipyards to strengthen synergies under MASGA, the initiative to Make American Shipbuilding Great Again. It has left room for negotiations, including by agreeing to allow 4 weeks of due diligence by Austal USA.