Spanish state-owned firm Navantia has agreed a deal rescue collapsed British shipbuilder Harland & Wolff. The 海角视频 company, which is famed for building the Titanic and has sites in Northern Ireland, Scotland and Devon, fell into administration in September.
Under the terms of the agreement, more than 1,000 jobs will be saved as well as Harland & Wolff's assets which include its yards.
It is understood the deal with Navantia was agreed after the 海角视频 government offered better terms on a 拢1.6bn contract to build a trio of Royal Navy ships, the FT reports. As Business Live understands, the vessels could be built at Harland & Wolff's Appledore shipyard in Devon and Belfast, and at Navantia鈥檚 Puerto Real site in C谩diz, before being assembled in Northern Ireland.
Business Secretary Jonathan Reynolds would not divulge how much extra cash would be pumped into the contract but said it was a good deal for taxpayers, workers at H&W鈥檚 shipyards and national security. He told the PA news agency: 鈥淭his is a huge vote of confidence in the 海角视频. It is good for jobs, it鈥檚 good for national security, and it鈥檚 good for all parts of the 海角视频.
鈥淭his was a huge problem that we inherited walking into office. We have been able to broker a solution that is not just a solution to the short-term problem, but one in the best long-term interests of the 海角视频.鈥
Harland & Wolff's collapse earlier this year was its second in four years, after it was rescued by London-based energy firm Infrastrata for 拢6m in 2019.
Last month, it was revealed the historic 海角视频 shipbuilder's ill-fated West of England ferry venture amassed debts of 拢3m before succumbing to administration.
Scilly Ferries was established despite setbacks including financial turmoil and a delayed launch, ultimately ceasing operations without completing a single trip.
Harland & Wolff had debts of 拢160m when it collapsed. According to administrators Teneo, at the time of their appointment, neither the group nor its lender could provide long-term funding to cover the company's ongoing expenses.
