Dyna-Mac, China Merchants Heavy Industry Form JV Firm

Thursday, April 9, 2020

Singapore-based FPSO module specialist Dyna-Mac and China's offshore equipment and vessel builder China Merchants Heavy Industry Holdings (CMHIH) have entered into a joint venture deal.

Under the agreement, the two companies will create the DM-CMHI Heavy Industry company in China.

DM-CMHI Heavy Industry will specialize in providing engineering, procurement, construction and pre-commissioning works for topside modules, turrets, and topside modules integration, and onshore modules.

The target market for the JV's business is China (excluding Hong Kong, Taiwan, and Macao), and possibly other regions the company directors approve.

Dyna-Mac's part of responsibility will be identifying the required type and source of materials and resources to be used and deployed for the business, while CMHI will be providing access to and use of the required shipyard and their respective fabrication areas.

Providing rationale for the creation of the joint venture, Dyna-Mac said that it will gain access to China Merchants Heavy Industry's infrastructure while the Chinese shipyard specialist will be able to tap on the Dyna-Mac's experience and knowledge in the specific line of business.

Categories: Mergers & Acquisitions Industry News Asia China Singapore

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