Genting Hong Kong, a leading global cruise and resort company, has entered into an agreement to acquire Lloyd Werft, a shipyard in Bremerhaven, Germany.

The deal will see the company invest €17.5 million for 70 per cent of the new shipbuilding business and a 50 per cent ownership of the shipyard land.

Under the terms of the agreement, Genting Hong Kong will complete the acquisition of Lloyd Werft subject to the fulfilment of certain final purchase conditions.

“Lloyd Werft has already built and lengthened six ships owned by an affiliate of Genting Hong Kong and has the expertise to build a series of world class cruise ships for the company, which will include the Exclusive Class vessels for Crystal Cruises, the most awarded luxury cruise line in the world,” said Tan Sri Lim Kok Thay, chairman, Genting Hong Kong.

“Ownership in Lloyd Werft will enable Genting Hong Kong to leverage on the shipyard’s technical expertise as well as their well-established and long track record in the shipbuilding industry.”

To enhance the competitiveness of Crystal Cruises, Genting Hong Kong in July signed a letter of intent with a view to building Exclusive Class cruise ships at Lloyd Werft.

Further, Crystal Cruises is also planning to order new luxury river ships from Lloyd Werft which will feature larger suites than currently available in the market, to complement their innovative design, itineraries and activities for cruising in the Danube, Rhine, Seine and other European rivers.

Lloyd Werft was founded in 1857 and initially focused on the general ship repair business, moving into the conversion and newbuilding businesses in the 1970s.

The yard, situated on 260,000 square metres and comprising of six docks and a 1,600 meter pier, has an impressive track record for newbuilding including cruise vessels for Norwegian Cruise Line including Pride of America, Norwegian Sky and Norwegian Sun, mega yachts such as the MY Luna, pipe-laying vessels and merchant ships.

Lloyd Werft also completed the conversions of a number of vessels including the Queen Elizabeth 2 for Cunard Line.