HBG and Ballast Nedam merge dredging activities

4 May 2001 17:27 - Royal BAM Group nv

Ballast Nedam and HBG will merge their dredging activities into a new joint venture that will be made up of Ballast Nedam Baggeren bv [BNB] and Hollandsche Aanneming Maatschappij bv [HAM]. Ballast Nedam and HBG have signed a memorandum of understanding, as a result of intensive negotiations conducted in recent months. The Boards of Management and Supervisory Boards of HBG and Ballast Nedam, as well as the management of both dredging companies fully support the joint venture.

A combined trailing suction hopper dredger capacity of 160,000 m3 and a combined capacity in heavy cutter suction dredgers of 66,000 kW will make the new joint venture world market leader in important segments of the dredging industry. The new company – Ballast HAM Baggeren bv – will operate on a stand-alone basis, will be self-financing and will have a strong balance sheet, which offers an excellent starting point for further strengthening the market position.

The merger of the two companies’ dredging activities will create an operation of sufficient mass to play a prominent role in a consolidating dredging industry.

At an informative shareholders’ meeting, on Tuesday 26 June 2001, HBG's Supervisory Board and the Board of Management will give a presentation explaining the strategic decision to form a new company Ballast HAM Baggeren bv, in which HBG will have a two-thirds interest and Ballast Nedam one-third.