Groupe Océan buys the Verreault shipyard | The Quebec shipbuilding industry is consolidating

By buying the Verreault shipyard, Groupe Océan kills two birds with one stone: the company allows its new takeover to remain under Quebec control and becomes better equipped to obtain a share of the billions that will be spent by Ottawa as part of its National shipbuilding strategy.

Julien Arsenault
The Press

“This is a strategic purchase for us,” said the president and CEO of Ocean Group, Jacques Tanguay, in a telephone interview. Like many employers, we are short of manpower. The transaction adds a hundred highly qualified workers and seasoned managers. »

Based in Quebec, the company specializes in shipbuilding and repair, harbor towage and dredging. It already operates sites in Isle-aux-Coudres – where four tugs are built for National Defense – as well as another in the Old Capital.

With its site located in the village of Les Méchins, Verreault allows Groupe Océan to add a string to its bow with its dry dock 244 meters long (800 feet) by 56 meters wide (184 feet).

At Verreault, which was founded in 1956, no one was available to grant interviews on Wednesday. In recent years, due to health problems, Denise Verreault, daughter of founder Borromée Verreault, had retired from management to entrust the helm to Richard Beaupré.

The amount of the transaction announced Wednesday was not disclosed.

“As a good buyer, I think it’s too expensive, but as a good seller, I think [Richard] think it’s not enough,” joked Mr. Tanguay.

A potential sale had been mentioned by Verreault about four years ago, according to the leader of Groupe Océan. Talks have intensified over the past two years.

“Without family succession to take over the site, it was the family’s intention to sell,” said Mr. Tanguay. There were certainly international players who had an eye on the site, but I think Denise and Richard wanted to bequeath all that to a Quebec company. »

More options

Shipbuilding and repair activities should now represent up to 30% of Groupe Océan’s turnover. Despite this acquisition, the company will not encroach on the borders of Chantier Davie, one of the main players in the country. The company focuses primarily on the market for small and medium-sized ships.

Three shipyards – Chantier Davie, Seaspan (Vancouver) and Irving (Halifax) – have been prequalified by Ottawa for major projects such as the construction of Coast Guard icebreakers.

However, the process is different for smaller vessels under 1000 tonnes displacement. Any shipyard can covet these projects, which will be awarded through calls for tenders. This is the niche that interests Groupe Océan.

“It will take several years,” says Mr. Tanguay. The dimension of the dry dock [de Verreault] and our new production capacity will allow us to demonstrate that we have the means to deliver the goods. »

Among the workers, who are represented by the Confederation of National Trade Unions (CSN), we see the transaction in a good light. It will nevertheless be necessary to take the time to sit down with the new owner, underlines Éric Dubois, adviser for the Federation of the manufacturing industry.

“There were rumors circulating on the site for several months,” he explains. If there was a transaction to buy the site, it is because there must be business opportunities. »

Groupe Océan’s footprint goes beyond the borders of Quebec. It is present in Ontario, Alberta, British Columbia and the Caribbean. Its workforce is more than 1000 employees.