Almost one year after a bankruptcy court declared Perini Navi insolvent, the shipyard seems to have a secure future. The Italian Sea Group has acquired Perini Navi for €80 million ($90.6 million). The figure is nearly double what a bankruptcy court had set as the opening bid for an auction that took place earlier today.
The Italian Sea Group won the auction via a wholly owned subsidiary, New Sail. Included are shipyards in Viareggio and La Spezia, Italy, as well as a building complex in Pisa. All trademarks and patents, as well as Perini Navi USA and the Picchiotti brand, are included, too. Additionally, it is taking over project no. 2369, a partially constructed sailing superyacht. And, it’s taking over all legal obligations with employees and subcontractors.
Last month, the bankruptcy trustee set an opening bid of €47 million ($53.2 million) for the auction, along with parameters outlined by another interested party. That party was Restart, a joint venture between the Ferretti Group and Sanlorenzo. Restart had submitted an irrevocable offer in October the day after The Italian Sea Group submitted its own irrevocable offer. The bankruptcy trustee issued a statement shortly thereafter saying he, the creditors, and the bankruptcy judge appreciated the two proposals’ focus on business continuity. However, he added, they collectively chose to seek a third auction, using Restart’s idea as the basis.
“We wanted to push forward with the investment, but we have approached this auction with absolute determination to acquire all of the assets considering our consolidated competence and the new contracts, in particular in the segment of large sailing yachts,” says The Italian Sea Group’s founder and CEO, Giovanni Constantino. He points to two 184-foot (56-meter) sailing superyachts that it signed earlier this month and Art Explora, a mega catamaran. “The new production spaces will allow us to increase incoming orders for the future in a very dynamic segment,” he adds.
The Italian Sea Group has acquired Perini Navi for further reasons, too. It says that about half of the builder’s sailing superyachts have passed through its yard for service, for instance. Plus, the Viareggio and La Spezia shipyards will allow doubling its refit capacity, and sign new-build motoryachts from 295 to 426 feet (90 to 130 meters). Yet another reason: It has hired a number of former Perini Navi employees over the past year. And, The Italian Sea Group asserts that Perini Navi’s brand value wasn’t detrimentally impacted by the financial issues leading to its bankruptcy. In fact, it asserts that second-hand Perini Navis have sold for strong prices in recent months.
Already, The Italian Sea Group had two partially constructed Perini Navis under its roof. They’re seeing completion through its NCA Refit division, which is also refitting four other yachts from the sailing superyacht brand.
Through a statement issued late this afternoon, Sanlorenzo says, “the auction price exceeded the amount which was considered adequate.” It cited “the negative goodwill of the company” due to the bankruptcy, as well as “the significant investments needed to carry out an effective turnaround that would allow the restart of production and the relaunch of the company, the brand and, above all, the growth and continuity of employment for the workers of the two shipyards.”
A court declared Perini Navi insolvent in January of this year. Previously, court records showed that at the end of 2019, the builder was €80.87 million ($98 million) in the red. Furthermore, at the end of the first quarter of 2020, its debt exposure was nearly €100 million ($121.3 million). As part of the insolvency declaration, the court appointed a trustee to safeguard the assets under provisional operations.
The Italian Sea Group theitalianseagroup.com
Perini Navi perininavi.it
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