Australian Azzura Marine division is up for sale

Azzura Marine Nowra was one of three boatbuilding ventures in Queensland owned by Azzura Marine, currently for sale by liquidator.

Azzura Marine Nowra, wholly owned subsidiary of Azzura Marine, has allegedly already received enquiries about purchasing its assets since it went into voluntary liquidation on October 15th. Azzura Marine Nowra was one of three boatbuilding ventures in Queensland owned by Azzura Marine.

Liquidator S. Cathro from Deloitte said operations at Azzura Marine’s other two facilities (Newcastle and Azzura Marine Gold Coast) are continuing, but that a “complete options assessment” is being conducted.

Mr Cathro has received “a number of enquiries” from interested parties about Azzura Marine Nowra. It recently employed 60 workers.

Azzura Marine, with over 200 vessels built in its three Queensland facilities during its 15-year history, faced a significant shortfall in orders, thus, the company decided to close the business in Nowra.

Due to a significant decrease in demand for yachts over the last six to 12 months, declining from a peak of seven ‘new build’ orders in 2008 to no ‘new build’ orders in 1 year. “Azzura Marine cannot currently provide the financial resources to maintain three ship building facilities according to Mr. Cathro.

Date: October 28, 2009

South Korea: A new market for the yachting and top luxury Industries

It has been a year now that the Rodriquez Consulting team has kept a close eye on Korea and together with partner Yacht Designer Andrea Borzelli has drawn some thoughts on the dynamics and future developements of what looks to be a new market for the top luxury segment and specifically for Yachts.

It’s very important to undeline that the number one exported good as a percentage of Korea GDP still comes from the ship building industry. Indeed, Korea is world famous to be home of Hunday in Pusan Daewoo and several other significant commercial ship builders. As a matter of fact Hunday still is the largest shipyard worldwide in terms of facilities and number of employees.

What about luxury yachts? Well, after dealing with a number of players and former government officials, we have to say that we see a solid potential. Since the South Korean government grathed quite a lot of autonomy to local/regional governments the demand for design and development of new yachts to export increased significantly and even more interesting, design and development of new marinas became short and medium term goals.

Although the legislation is still quite closed to luxury yachts, HNWI are growing rapidly in Asia in general and in South Korea specifically Asia as a whole has already outnumbered Europe by quantity of V-HNWI (millionaires) and South Korea is very likely to gain more and more importance in terms of share. Korea is now 11th country among the world fastest economic growth countires and the Korean economy is expected to become among the 10 top economies in terms of GDP by 2050, placing it in 8th position.

“South Korea is definitely the place to be with the impressive project to construct new marinas and boating facilities in Gyeonggi Province within the next few years. As the local yachting industry is still relatively young, it is a perfect moment to take a strong position at the very beginning. ,” says Nicolas Lapp, Sunreef’s vice-president.

For more information, Market Research or other services on the Korean Market please click here and register your interest or e-mail us with Korean Market in the subject line.

Sovereign Funds and Yacht Manufacturers

Some insiders and probably most of the outsiders still consider boat building a hobby or a pure-passion venture. Although it is still like that for some boat builders, (and we are grateful for high quality unique vessels that often catch our eyes in the most unexpected bays) it isn’t anymore for those who are eyed or acquired by private equity funds and certainly it is not like that for those who are targeted by sovereign funds. Traditionally, sovereign funds operate on regulated markets such as the one for energy, commodities. In other cases at least a strategic investment approach which grants their[sovereign funds] country of origin some extra weight on the international political arena.

A few of years ago it was the turn of a minority stake of an Italian private aircraft manufacturer, then a very famous sports car manufacturer (F) and now these funds are looking at yacht builders. Specifically, a 625 billion-fund, namely Abu Dhabi Investment Authority, should be interested in some ’shopping’ among Italian well known Yacht builders.

Rodriquez Consulting ltd. is indeed available to all interested managers for a strategic analysis of any targeted company operating in the marittime industry, alternatively to identify feasible potential targets as well as to provide ‘ad hoc’ international market forecasts. Therefore, RC invites managers related to State General funds of Oman, Istithmar-Dubai, Kuwait Investment authority, Qatar investment authority, Dubai International Capital, National Fund Kazakhstan, Khazanah national of Malesia, China Investment Corporation and all their private equity divisions and subsidiaries to contact us for more information.Info@RodriquezConsulting.com

 

Rodriquez Consulting and Hi-tech Helicopter Manufacturer

Rodriquez Consulting Ltd is currently planning a visit at the production plant of an advanced technology Light Helicopter manufacturer in order to envisage potential partnerships within the luxury industry of Yachts and Private aviation service providers.

Furthermore RC, might cooperate with the Helicopter manufacturer in order to secure private investment for a new manufacturing plant in Latin America in order for the manufacturer to satisfy demand for its product. The Helicopter has already won a design award. Although, it is quite unusual to see such a product next to design-must such as Ferrari 599 and other usual design-award-oriented products, RC believes it is an eloquent sign of how Helicopters and other flying machines are getting closer to common-use luxury vehicles.

Date: October 5, 2008