Rolls-Royce confirms that completion of the sale of their Commercial Marine business to KONGSBERG of Kongsberg, Norway, took place on 1 April. The completion of the transaction, which was announced on 6 July 2018, follows recent clearance from the relevant regulatory authorities. As announced on 17 January 2018, the naval marine gas turbine and USA based propeller operations of the former Marine business unit have already been consolidated within our Defence business.

Net proceeds after transaction costs and other adjustments are estimated to be around £350m to £400m. In 2018, Commercial Marine reported underlying revenue of £726m and an underlying loss of £35m.

Through the Bergen Engines operation of our Power Systems business and under the Rolls-Royce brand name, Rolls-Royce remains an important developer and manufacturer of diesel and gas medium-speed engines for a variety of markets including commercial marine and power generation. KONGSBERG will, through a trading arrangement, continue to have access to Bergen Engines product.

Separately through our Power Systems business, Rolls-Royce remains a provider of high-speed engines for the commercial marine market, under the MTU brand name.

As of 1. April 2019 Rolls-Royce Commercial Marine is a fully integrated part of Kongsberg Maritime.