Harland & Wolff Share Discussion Threads

[si derman] 13/7/2022 07:18

How'd you like them apple's, Appledore? :)

[skinny] 13/7/2022 07:03

First Defence Sector Award for cGBP55m - M55 Regeneration Programme

Harland & Wolff Group Holdings plc (AIM: HARL), the UK-quoted company focused on strategic infrastructure projects and physical asset lifecycle management, is pleased to announce that the Company has been successfully awarded the M55 Regeneration Programme (M55 Contract) by the Ministry of Defence (MOD) on behalf of the Lithuanian Defence Materiel Agency (DMA) after a competitive bid process.

The contract value for this programme is GBP55 million, with a potential to increase this value through additional equipment and further upgrades at the client's option. The M55 Contract incorporates the delivery of a regenerated vessel, with stated mission and sonar systems, to an agreed operational condition, for final delivery to the Lithuanian Navy.

It is a landmark deal for the Company, being its first contract win within the defence sector. Following extensive discussions with the MoD and a competitive tender process, winning the M55 Contract is a clear validation of the strategic progress the Company has made in the last 2 years as well as the technical skills, expertise and facilities it now has in operation.

The M55 Contract is expected to commence in August and be completed within 18-24 months with the programme being undertaken at Harland and Wolff's Appledore site. Under the terms of the contract, no performance bonds will be required to be issued and an acceptable milestone payment plan has been agreed for the lifecycle of the programme. Contractual payments will be spread across FY 2022, FY 2023 and FY 2024, thereby creating a predictable, ongoing revenue stream for three financial years. The contract underpins the Company's FY22 and FY23 revenues, with margins also in line with management expectations.

The Board strongly believes that this contract will significantly enhance the Company's reputation in the market and pave the way to securing future defence and government contracts.

With this award now secured, the Company has delivered on its objective of becoming operational in its five key markets - cruise & ferry, commercial, energy, renewables and defence. In conjunction with the recent award of the Cory barge contract, all the Company's facilities are now operational and active on projects. The Company is progressing towards its stated medium-term goal of becoming a GBP500 million per annum turnover business.

Harland & Wolff, group CEO John Wood, commented:

"I am thrilled that the Company has been awarded the M55 Contract. This is a watershed moment.

This contract has provided the breakthrough that we needed to activate our fifth and final key market of Defence. Our strategy has been well and truly validated and we intend to capitalise on this win through bidding on and securing further government contracts.

The extended process to win the M55 Contract enabled us to showcase the technical and commercial capabilities of the entire group and has now provided the MOD with a credible alternative to the existing industry base. This contract is validation that the Government can go elsewhere, recognising the investment and progress made over the last two years to put the Company in a position to execute on such programmes.

Our eyes are now set on delivering this contract and executing on our pipeline as we continue to build momentum, credibility and a high-performing, experienced workforce.

Finally, I wish to thank the MOD for the faith that they have placed in the Company, and I look forward to working closely with them on the successful delivery of this contract ."

[ijamlon] 04/7/2022 13:02

The new excuse for not producing accounts is that they were really busy! Shame the busyness didn't generate any business.

[ijamlon] 26/6/2022 19:13

Just for fun I re-read the November statement explaining the last equity raise..."The net proceeds from the Fundraising will be used to facilitate delivery of existing and expected contracts and secure further higher value contracts in the Company's pipeline." That went well then. Eight months of nothing. Wonder what the rationale for the next raise will be?

[mrmark1] 17/6/2022 10:45

Management expects negotiations with the MOD on the M55 regeneration programme to be completed in the next few weeks with an announcement to be made thereafter, should an award be made in the Company's favour..... this contract is worth £45-55m / unsure the margin on the contract but would guess this contract alone is more than the current m/c. Squeeze on from 13-15p on news

[this_is_me] 10/6/2022 17:00

Encouraging progress reported today.

[this_is_me] 07/6/2022 14:39

The chartists would say that we have had a double bottom in the share price giving a target share price of 32p.

[milesy] 03/6/2022 09:58

An interesting and growing customer to have:

[lyndonharrison] 02/6/2022 23:37

Belfast’s historic Harland & Wolff (H&W) shipyard has clinched its first newbuilding order since being bought out of administration in 2019.

And the company, owned by UK infrastructure fund InfraStrata, also announced an intriguing deal to convert a UK naval vessel.

H&W said it will build 11 barges for Cory Group in a contract worth £8.5m ($10.7m).

The units will carry London’s recyclable and non-recyclable waste on the River Thames.

The first steel will be cut in about eight weeks...

[livewireplus] 01/6/2022 15:00

PS: Previously the only other thing I could find for it was this (which didn't mention price):http://bidstats.uk/tenders/2020/W26/729677934

[livewireplus] 01/6/2022 14:57

Thanks for details of the Quorn upgrade package .... let's see if Thales / A&P get it as per two previous Hunt-class upgrades for Lithuania - or if H&W can get a foot in the door ...

[1alfi] 01/6/2022 14:44

HMS Quorn, which was decommissioned in December 2017, is being transferred under a sales package that will include the regeneration and upgrade of the vessel. The United Kingdom’s Defence Equipment Sales Authority (DESA), part of the MoD’s Defence Equipment and Support (DE&S) organisation, will contract for the regeneration and upgrade on behalf of the Lithuanian Defence Materiel Agency. The package is estimated to be worth between GBP40-50 million (USD50.4-63.3 million).

[...]

[livewireplus] 01/6/2022 13:48

PS: From info I can see on internet for the refurb of the two previous Hunt-class ships for Lithuania then the prime contractor was Thales with work being done at A&P Falmouth ...

[livewireplus] 01/6/2022 13:28

mrmark .... Have you got a link to the MoD for that contract value? As far as I can see HMS Qourn has been bought by Lithuanian Navy and they'll be arranging the refurb: https://des.mod.uk/mine-hunter-sale/ 

[livewireplus] 01/6/2022 13:17

Indeed .... not sure what spare parts and components are going to be used from the good ship Atherstone for HMS Quorn should that contract proceed further with H&L as it has been previously mentioned for Atherstone that:'The vessel is sound for towing but is no longer in running condition and since decommissioning this vessel has been extensively stripped to support the fleet including engine removal.'

[livewireplus] 01/6/2022 10:47

Indeed a bit contradictory. Let us hope they get the MoD refurb ... perhaps with used parts available they'll win it as only competative tender (well we'll know within a few weeks) - and it'll be a 'new fit-out' with the purchased vessel to obtain and complete the non-MoD refurb. IF both come to fruition then it bodes well for future. Just my 2p's worth

[1alfi] 01/6/2022 10:36

"The Company has acquired this vessel with a view to refurbishing it for non-military uses, discussions for which have already commenced with interested parties."

" I am pleased that we have generated a lot of interest for the repurposing of the former HMS Atherstone, and I expect to make announcements in this regard as soon as we have executed a refurbishment contract with a counterparty."

[mrmark1] 01/6/2022 09:11

Why would the MOD have sold a ship that parts are needed from to refurbish M55 if it wasn't a done deal?!Wouldn't want to be short of the stock in a few weeks and other contracts can land anytime for the multiples of the market cap in any of the sectors H&W are in...including wind fabrication. Hint / hint....Management believes that the acquisition of the former HMS Atherstone will significantly de-risk the M55 regeneration programme given that the two vessels share a number of spare parts and components. Should the Company be awarded the regeneration programme for the M55, such spare parts and components on the HMS Atherstone will be utilised during the regeneration programme of the M55. Management expects negotiations with the MOD on the M55 regeneration programme to be completed in the next few weeks with an announcement to be made thereafter, should an award be made in the Company's favour.