Somec awarded two contracts worth nearly EUR32 million

(Alliance News) - Somec Spa announced Monday that it has been awarded two orders worth a total of EUR31.6 million.

The first contract, worth EUR19.4 million of which EUR7.5 million is under option, signed with the Finnish shipyard Meyer Turku, concerns Icon-class ships destined for shipowner Royal Caribbean International, which - thanks to their liquefied natural gas power supply - are counted among the most advanced in the world in terms of design and tonnage, with a capacity of more than 5,000 passengers each.

The second, signed with Chantiers de l'Atlantique, has a value of EUR12.2 million, of which EUR2.5 million is under option, and concerns the construction of the fifth Edge series ship of the Celebrity Cruises fleet, a luxury company also belonging to Royal Caribbean Group.

The scheduling of the two orders, while not taking into account the possible exercise of options, envisages that work will start as early as 2023 and develop over the next three years, with a greater concentration of volumes - and consequently revenues - expected in the two-year period 2024-2025.

"Whenever a client, all the more so if major partners such as Meyer Turku and Chantiers de l'Atlantique are, decides to entrust us with a larger volume of work than initially planned, it shows us in the best and most tangible way their appreciation for the quality of our work and ability to meet deadlines: something of fundamental importance in the shipbuilding business," said Somec president Oscar Marchetto.

"In general, these new orders represent a sign of confidence about the recovery of shipbuilding, which stems from the solid increase in passenger numbers that is saturating the accommodation capacity available worldwide to date. A positive trend is restarting that will generate substantial orders for new ships as early as 2024, and Somec is poised to benefit from it."

Somec's stock is down 0.2 percent at EUR27.00 per share.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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