The acquisition, initially outlined in a preliminary agreement signed on May 9, 2024, involved a fixed payment of €287 million, with the total enterprise value potentially reaching €415 million, subject to standard price adjustment mechanisms.
With this acquisition, Fincantieri integrates expertise in underwater acoustic technologies and weapon systems, enhancing its capabilities in both military and civilian applications. The company is set to play a key role in protecting critical underwater infrastructure, such as submarine cables and offshore energy facilities, while also expanding its portfolio in innovative maritime solutions.
Pierroberto Folgiero, CEO of Fincantieri, expressed his enthusiasm for the milestone:
"The acquisition of WASS Submarine Systems represents a decisive step for Fincantieri in strengthening its technological leadership in the underwater domain. This aligns with our vision to lead the evolution of advanced ship technologies and respond to global challenges with entrepreneurship and strategic foresight."Strategic Importance of the Underwater Sector
The underwater domain is increasingly vital for military operations and the protection of critical subsea infrastructure such as gas pipelines, telecommunications cables, and offshore energy systems. Fincantieri’s long-standing expertise in submarine production—dating back to the construction of Italy’s first submarine, Delfino, in the early 1900s—provides a solid foundation for this growth.The acquisition also aligns with the establishment of Italy’s National Subsea Dimension Pole (PNdS), a hub aimed at fostering cooperation among public and private entities in the underwater sector.
Key Details of the Transaction
- Enterprise Value: Fixed at €300 million, with a maximum potential of €415 million, including a variable component based on the 2024 performance of the UAS business line.
- UAS Business Line: Specializes in underwater defence systems, including torpedoes, countermeasures, and sonars. The business generated revenues of €160 million and an EBITDA of €34 million in 2023.
- Future Outlook: Projections indicate a cumulative civil and military underwater market opportunity of €100 billion for Fincantieri from 2024 to 2028, with a compound annual growth rate (CAGR) of 15%.
Historical Context and Future Vision
This acquisition builds on Fincantieri’s recent efforts to consolidate its leadership in the underwater sector. In 2023, the company acquired Remazel, a global leader in launch and recovery systems for underwater vehicles, and entered partnerships with industry leaders such as Leonardo, WSense, and C.A.B.I. Cattaneo S.p.A.
The transaction also includes the transfer of UAS operations to a newly established company, WASS Submarine Systems S.r.l., which will now operate under Fincantieri’s ownership.
This move highlights Fincantieri’s commitment to leveraging its expertise and expanding its influence in both military and civilian underwater markets, ensuring its role as a technological leader in a rapidly evolving sector.
Leonardo completed the sale of its underwater business to Fincantieri
About Fincantieri:
Fincantieri is a global leader in shipbuilding, boasting over 230 years of history and a legacy of more than 7,000 ships built. The company operates across all high-value segments, including cruise ships, defence vessels, and specialized offshore units. As a trusted partner to the Italian Navy, the US Navy, and numerous foreign naval forces, Fincantieri also plays a pivotal role in major European defence programs. With a network of 18 facilities across four continents, the company employs 10,000 people directly and supports around 90,000 jobs worldwide, showcasing its strong international presence and diverse expertise in naval mechanics and engineering solutions.
About Leonardo:
Leonardo is a global industrial group that builds technological capabilities in Aerospace, Defence & Security. The company plays a prominent role in major international strategic programmes and is a trusted technological partner of governments, defence agencies, institutions and enterprises.
