Austal confirms counter bid talks for US shipyards
- Austal confirmed preliminary discussions with US investor Wildcat Infrastructure regarding a potential counteroffer for its US business.
- The potential proposal follows an earlier $1.7 billion takeover approach from South Korean defence conglomerate Hanwha.
- Any sale of the US operations requires regulatory approval from Washington due to critical military shipbuilding contracts with the Pentagon.
Austal (ASX:ASB) confirmed it held preliminary discussions with Florida-headquartered Wildcat Infrastructure regarding a potential counterbid for its United States division, following an earlier $1.7 billion takeover approach from South Korea's Hanwha.
The talks come after Austal responded favourably to Hanwha's proposal last month, which targets the shipbuilder's Mobile, Alabama, shipyard.
"Austal has held preliminary discussions with Wildcat Infrastructure regarding a potential transaction, but no formal offer has been received," said Austal management.
The target Alabama shipyard generates two-thirds of the Australian company's total revenue and supplies major naval vessels to the Pentagon.
Washington must approve any transfer of ownership for the US assets, having previously approved Hanwha's $100 million acquisition of the Philly Shipyard last year.
Following the announcement, the Austal share price was up 1.2% at $4.47.
The company previously rejected an all-out acquisition offer from Hanwha in 2024 over regulatory approval concerns before the South Korean group shifted focus to the US division.
