China Zhongwang Acquires Majority Stake in SilverYachts

Time:26 October 2017 Font size

A Strategic Move to Jointly Expand Aluminium Applications in the High-end Marine Sector

China Zhongwang Holdings Limited (“China Zhongwang” or the “Company”, together with its subsidiaries the “Group”, HKEx stock code: 01333), a world-leading fabricated aluminium product developer and manufacturer, announced the completion of its acquisition of a majority stake in SilverYachts, an Australia-based all-aluminium superyacht builder.  The transaction marks a strategic move for both parties to make further inroads in expanding the application of aluminium in the marine sector.


“We are delighted to join hands with SilverYachts to navigate the high-end marine sector at full speed,” Mr. Lu Changqing, President and Executive Director of China Zhongwang, said. “SilverYachts is one of the pioneers in building large-sized, all-aluminium superyachts.  It has an international reputation for producing visually striking, aerodynamic, high-performance, and fuel efficient luxury superyachts, widely known as the ‘sports cars of the ocean’. Both companies share the same vision of offering best-in-class products that exceed client expectations. The acquisition is a significant step to advance the Company’s aluminium deep-processing strategy to the marine sector, and adds considerably to our international expansion.”


One of the world’s top superyacht manufacturers, SilverYachts is also the only company in the world capable of building large scale all-aluminium alloy superyachts of over 70 metres. The all-aluminium alloy hulls enable the superyachts created by SilverYachts to be lighter and faster, reaching the highest level in terms of speed and fuel efficiency in the world, and making them the fastest conventionally powered superyachts. Consequently, the superyachts produced by Silveryachts have garnered numerous international awards, and their major clientele includes the royal family members of the Gulf countries, and a prominent US technology entrepreneur.

The acquisition of SilverYachts signifies China Zongwang’s direct entry into the downstream end product manufacturing business. The transaction complements China Zhongwang’s recent acquisition of Alunna in Germany, and is another international acquisition that helps China Zhongwang to expand its business segments and optimise its product mix. Alunna is a key supplier of seamless extruded tubes to major players in the international aviation industry.  While China Zhongwang has already established a strong foothold as a leading supplier of fabricated aluminium products for the railway sector including high speed railway, it is also heavily involved in the manufacturing of new energy automobiles. Through the cooperation with SilverYachts, China Zhongwang will further broaden its product applications in the marine segment, and achieve comprehensive and multi-level coverage in the lightweight transportation domain which includes aviation, railway, automobiles, and navigation. At the same time, the partnership will give SilverYachts enhanced resources and direct access to China Zhongwang’s extensive R&D in the production and applications of fabricated aluminium products.  Its presence in Asia will also be conducive to SilverYachts’ expansion in the region.


“The partnership with China Zhongwang marks a new page for SilverYachts,” commented Mr. Guido Alexander Krass, founder of SilverYachts. “Dedicated to building all-aluminium alloy superyachts, we are excited to have China Zhongwang on board to provide impeccable support for innovative aluminium applications in the ocean.  China Zhongwang’s strong backing will enable us to accelerate our pace of expansion and broaden our market reach. Going forward, SilverYachts has plans to expand its team in Australia as well as in China.”   


Mr. Espen Øino, internationally renowned naval architect and yacht designer, said, “Our Silver Series yachts are groundbreaking in design and building philosophy, in the way the volumes are distributed longitudinally rather than vertically, thus permitting a high length to beam ratio, which is more efficient in terms of performance. The Silver Series of yachts reflect the basic core values of sound engineering principles whereby simplicity prevails over complexity and finds its inspiration in the slender and efficient monohulls developed before lightweight materials and high speed high power diesel engines were available.  Applying the same basic naval architectural concept in combination with today’s state of the art lightweight aluminium construction and modern engine technologies is the brainchild of Guido Alexander Krass and myself. We look forward to designing the next generation of the Silver series with China Zhongwang, for both the global and the Asian market.”


SilverYachts is based in Perth, Australia. Its founder Guido Alexander Krass and yacht designer Espen Øino will continue to lead SilverYachts’ development after the acquisition, and its day-to-day operations will remain unchanged. The Australia-based shipyard will remain a frontrunner of technology, manufacturing new series of larger vessels such as the 100 meter Silver Global. One of the existing strategies of SilverYachts is to establish an additional shipyard in China to build superyachts or commercial vessels customised for the growing Asian market with the support of China Zhongwang.