On March 11th, NYK Group company, NYK Holding (Europe) B.V. ("NHE"), reached an agreement with the Norwegian shipping company Westfal- Larsen Group to fully acquire Saga Welco AS ("Saga Welco").

Saga Welco, a Norwegian shipping operator specializing in transporting cargo via open-hatch vessels*, is currently jointly owned by NHE and the Westfal-Larsen Group, with each party holding a 50% stake. The transaction is expected to be finalized within 2026, subject to regulatory approvals in various jurisdictions.

Saga Welco operates a fleet of 48 open-hatch vessels and offers worldwide semi-liner services** originating principally from the east coast of South America. The company boasts an enviable reputation in high-growth sectors such as wood pulp and other forest products, wind turbine blades and components, aluminum ingots*** semi-finished steel products, as well as a range of project-cargoes****. Saga Welco’s ability to efficiently consolidate diverse cargoes on multi-purpose open-hatch vessels, coupled with scheduling reliability and specialized operations from its global network of bases, has consistently earned high praise from its customers.

As outlined in the NYK Group's medium-term management plan announced in March 2023, we are committed to strengthening our existing core businesses and evolving new growth opportunities through an “ambidextrous management” strategy. This transaction will further strengthen our global network and provide opportunities to expand our participation in transportation across a range of sectors including forest products, offshore-wind, high & heavy and project cargoes.

Leveraging the significant expertise and experience of Saga Welco's personnel, will further ensure that the NYK Group continues to be well positioned to enhance the profitability of its dry bulk business.

* A ship type where the cargo hold interior has a box-like structure with a large opening across its entire top surface. Unlike typical bulk carriers, the cargo hold interior has no incline, and the wide hold opening allows for loading cargo of various shapes.

** A service operating regularly between specific ports while also calling at intermediate ports as needed. This allows flexible operations tailored to meet demands in areas near major shipping routes.

*** The raw material for aluminum products.

**** Such as large and/or heavy plant and equipment that cannot be transported using standard shipping containers.