Palumbo Group has just invested more than €10 million to acquire the former Mondomarine facility in Savona, Italy, after the Italian courts this week decided on the fate of the beleaguered shipyard.

The group, which runs the Cospicua shipyard, has had its eyes on the ailing company for the past months and its acquisition will allow it to expand its burgeoning business of refitting cruise liners — in 2017 Palumbo gained recognition as one of the best shipyards in Europe, placing third worldwide in this particular sector.

“The Mondomarine facility is strategically placed in the north of Italy for refitting and its acquisition fits in seamlessly with our development plan for our network of shipyards in the Mediterranean. Our vision is to restore the yard using the local craftsmanship, while continuing to build on the line of Mondomarine,” Group CEO Antonio Palumbo said.

The facility in Savona has been acquired on an initial six-month lease, and comes after months of protests and a factory sit-in as the fate of 57 employees was thrown in limbo following the bankruptcy liquidation of Mondomarine last year.

This week, the tribunal in Savona decided on the way forward, paving the way for Palumbo Group to immediately step in and restart the shipyard’s activities, along with the reinstatement of nine employees.

Mr Palumbo said that following discussions with the local workers’ union, the company’s aim was to rehire a good part of Mondomarine Savona workers once the final acquisition was secured.

All the partially finished projects from Mondomarine have been shipped to other shipyards for completion and in the meantime, Palumbo Group has set up a new company called Savona Superyachts that will be operating the site, with a focus on refit projects. 

Before its liquidation, Mondomarine was a key player in the Italian yacht market and built more than 30 yachts over a 25-year period. Its biggest asset is the ability to construct yachts up to 70 metres.

With shipyards in Ancona, Naples, Marseilles and Tenerife, among others, this latest acquisition sees Palumbo Group’s portfolio of facilities grow to eight, positioning it among the top leaders in Europe.

“To be able to proceed and be able to succeed in a competitive environment we need to continue growing and focusing on the potential of the area. We plan to introduce our philosophy and passion in this shipyard and to return it to its former Mondomarine glory,” Mr Palumbo said.