Daewoo, Hyundai plan separate $976 mn UK navy tenders

Source: The Economics Times

SEOUL: Hyundai Heavy Industries Co Ltd, the world's top shipbuilder, and its rival Daewoo Shipbuilding said on Tuesday they are separately planning to tender for a 500-million-pound ship order from Britain's Royal Navy.

Daewoo Shipbuilding and Marine Engineering Co Ltd, the world's No. 3 shipbuilder, has formed a consortium with Britain's BAE Systems to tender for an order of six multipurpose supply vessels, a Daewoo spokesman said.

"We made up a consortium with BAE and are in an examination of qualifications, a step before a full-scale tender," he told the media. He said the total price of the deal was 800 million pounds but the value of ships excluding weapons was about 500 million pounds.

Hyundai said it also plans to tender for the order. "We are participating in the tender for six navy ships in a consortium," said the spokesman, declining to name its partners.

The British Navy plans to sign a final deal for the vessels in April next year and the winner will deliver the ships from 2012, the Daewoo spokesman said.