All the latest moves by Fincantieri in the USA
Fincantieri will build a second Constellation-class missile frigate for the US Navy. Here are the details
Fincantieri will build a second missile frigate for the US Navy.
The US Department of Defense has announced that the US Navy will exercise the option, worth approximately 555 million dollars, which assigns to Fincantieri Marinette Marine (FMM) the construction of the second frigate of the “Constellation” class.
FMM is currently working on the detailed design phase of the first unit. Production will begin later this year, with unit delivery scheduled for 2026.
The title of the group led by Giuseppe Bono shines in Piazza Affari, which in the last six months has grown by 8.98%, at 12.30 it rises by 1.9% to 0.69 euros.
The option announced today is the first of nine potential options on future guided missile frigates for Fincantieri Marinette.
This is another important success for Fincantieri Marine Group (Fmg), the US subsidiary of the Trieste group. Especially after the US Navy interrupted deliveries of the military ship Litoral Combat Ship (Lcs) at the beginning of the year , with Fincantieri participating in the design and construction with the Fincantieri Marinette Marine shipyard.
All the details.
THE CONSTELLATION PROGRAM
The “Constellation” program was awarded in 2020 to FMM, with a contract for the first frigate with the option for 9 additional ships, in addition to after-sales support and crew training.
The award represented an important evolution of the strategic profile of American operations, "For the first time, in fact, the American subsidiary, Fincantieri Marinette Marine will play the role of prime contractor in an order for the US Navy", the Group had underlined. of Trieste.
As part of the program, the US Navy plans to build an additional 10 units, for a total of 20.
THE TOTAL VALUE FOR FINCANTIERI
The total value of the program for Fincantieri is approximately 5.5 billion dollars with visibility until 2035.
THE ADVANTAGE OF THE FREMM FRIGATE PLATFORMS
In this tender, Fincantieri – explains the company in a note – managed to impose itself on competitors thanks to a project judged to be the most advanced and innovative.
The proposal of the Italian shipbuilding group, in fact, is based on the Fremm frigate platform, considered the best in the world from a technological point of view, on which a program of ten units for the Italian Navy is based. ( Here the in-depth analysis by Start on the two Fremm frigates sold to Egypt ).
For Dario Deste, president and CEO of Fincantieri Marine Group, the green light for the second ship was expected based on the progress made in FFG's design efforts, as well as the company's demonstrated commitment.
THE COMMENT OF THE ANALYSTS
As reported by MF , “according to Equita Sim the announcement, although expected, has a strong strategic value. Sim recalled that the FFg (X) program will strengthen relations with the US Navy and improve competitive positioning in the military segment globally. Intesa Sanpaolo (rating add and target price at € 0.82) also reiterated that the extension of the contract will have a positive impact on turnover and margins.
According to estimates by the investment bank, 2021 turnover will rise to 6.77 billion (+ 14%) and EBITDA to 475.7 million. Furthermore, the exercise of the remaining options is highly probable, as is the possibility of signing new contracts not only in the US, but also in other countries. In this way, Fincantieri will be able to diversify its customers in the naval segment, a revenue component that is destined to grow ”.
WHAT FINCANTIERI MARINE GROUP DOES IN THE USA
Fincantieri Marine Group, Fincantieri's US subsidiary, includes three shipyards: Fincantieri Marinette Marine and two other sites – also in the Great Lakes region in Wisconsin – Fincantieri Bay Shipbuilding and Fincantieri Ace Marine ( here the more detailed information from Start Magazin e ). The US Navy and the US Coast Guard stand out among its commercial and government customers.
"With our technological capacity it was easy to enter a very complicated market (like the US defense market)" declared Fincantieri CEO Giuseppe Bono during a hearing in the House last November . "From being sub-contractors to Lockheed Martin, with the latest acquisition we have become prime contractor." The reference is precisely to the race won for the 10 new FFG (X) missile frigates of the US Navy.
WHAT FMM IS WORKING ON
Even before the FFG (X) program, in 2010 Fincantieri Marinette Marine had won the contract for the construction of the Littoral Combat Ships (Lcs) program, as part of the partnership with Lockheed Martin. The program envisages the construction of 16 ships (10 of which have already been delivered). However, as we said at the beginning on January 19, the US Navy announced that due to the discovery of a design flaw in the transmission system in every single Freedom class ship, it will refuse to accept delivery of any new Freedom class ship. until the defect is resolved. However, the defect is not attributable to Fincantieri.
But the commitment for the US subsidiary of Fincantieri in the United States does not end here.
Last September, the Department of Defense and the US Navy awarded FMM a contract worth $ 7 million to develop the design and engineering of the Large Unmanned Surface Vessel (Lusv). In other words, future large “unmanned” surface ships, capable of operating without crew on board.
Finally, Fincantieri Marinette Marine is building 4 Multi-Mission Surface Combatants (Mmsc) units destined for the Kingdom of Saudi Arabia, as part of the United States Foreign Military Sales program.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/smartcity/tutte-le-ultime-mosse-di-fincantieri-in-usa/ on Fri, 21 May 2021 13:18:40 +0000.