OSLO: KONGSBERG has signed an agreement to sell its steering gear and rudder business, currently part of the Propulsion and Handling division in Kongsberg Maritime.

This is in line with Kongsberg Maritime’s strategy towards decarbonisation of shipping with its integrated systems and increased focus on electrification and digitalisation of the entire product portfolio.

“We are very pleased to have reached an agreement with Norvestor, divesting our steering gear and rudder business. This is a solid business with a long heritage, high-quality products, and established market positions which we believe will continue to develop well under new ownership, and we look forward to a fruitful cooperation in the future,” says Per Håvard Siljan Hjukse, EVP Propulsion & Handling, Kongsberg Maritime.

The transaction includes a global operation with end-to-end capabilities in both new-sale and aftermarket for steering gears and rudders.

In 2023, the business generated revenues of approximately NOK 850 million with margins similar to that of Kongsberg Maritime on a pro-forma stand-alone basis.

The agreement entails a commitment between the parties to cooperate to bring high-quality and competitive steering gear and rudder solutions to its customers

world-wide. The transaction is expected to be completed no later than Q1 2025.