Edge and Italy shipbuilding giant Fincantieri to establish a JV

Edge and Italy’s Fincantieri team up on naval manufacturing: Defense conglomerate Edge Group and Italian shipbuilding giant Fincantieri have agreed to form an Abu Dhabi-based joint venture to manufacture advanced naval vessels, with a commercial pipeline valued at EUR 30 bn, Edge said in a press release.

Ownership breakdown: Edge will own 51% of the JV, while Fincantieri will own the remaining balance, alongside managing operations of the company.

The details: The JV will focus on engineering and designing frigates and other large maritime vessels, as well as the sales and commercial operations of the vessels, the statement said. It will also establish a dedicated design authority in a bid to develop intellectual property with the help of both Emirati nationals and international contributions. The JV will also create a program for mid-sized submarines.

Who are the vessels for? The JV has priority rights for contracts outside Nato, as well as strategic orders from some Nato members, the statement said, without disclosing who the members are. Edge will use the UAE’s government-to-government arrangements and export credit financing packages for its orders.