Damen Shipyards Mangalia, under insolvency since June 2024 at the request of its shareholder Damen group, which is also managing the shipyard under an agreement with the Romanian state despite its 49% stake, announced it received two contracts that would keep it from completely sinking.

The Romanian Black Sea shipyard will repair two ships under the Maltese flag, Economica.net announced.

The repair work of the two ships will start by the end of September 2024, will be carried out simultaneously, and will last for a month.

"This step is also important from the perspective of the international market, where confidence in a shipyard's capacity is crucial," said Sofien Lamiri, Managing Director, Damen Shipyards Mangalia.

Part of the Damen Group, the Mangalia shipyard focuses on the construction and repair of commercial, military, and civilian vessels.

Damen Shipyards Mangalia, operating a Black Sea shipyard employing 1,500 people, has entered insolvency at its own request. The company is 51% controlled by the Romanian state but managed by the Dutch group Damen under a contract signed in 2018,

Concluding that Romanian authorities failed to address the inconsistency between its management agreement sealed in 2018 and new legislation passed in 2023 and failing to reach a dialogue with the Romanian authorities on this matter, Damen Holding requested the insolvency of the Romanian company on May 28. The shipyard filed for its own insolvency two days later. 

Separately, the Dutch group is asking for compensation under an international litigation procedure, reportedly in the amount of EUR 500 million, for the de facto termination of the management contract by the Romanian side.

iulian@romania-insider.com

(Photo source: Inquam Photos/Daniel Stoenciu)