Yacht servicing project remains 'on track'

Palmer Johnson, the American company which has teamed up with Malta Drydocks to set up a yacht servicing hub in Malta, has reacted to reports of bankruptcy by confirming that the project remains on track. It will be officially inaugurated on June 29.

A company spokesman said that with the sale of Palmer Johnson Savannah Inc, the 50 per cent partner with the Malta Drydocks in the newly formed Palmer Johnson Malta Ltd, to British businessman Timur Mohamed, enthusiasm for expanding its mega yacht and super yacht business to Malta increased.

Palmer Johnson vice president Skip Robinson said: "One of the major elements that attracted Mr Mohamed to the purchase of PJ was the prospect of the partnership we were arranging in Malta.

"Mr Mohamed is keen to bring the PJ crossed flags (the company logo for generations), of which he is now the sole owner, to the Mediterranean. He, more than any of us, understood the potential for expansion of the PJ brand in Malta."

Mr Robinson said that shortly after Mr Mohamed purchased the assets of Palmer Johnson Savannah Inc. and renamed the company Palmer Johnson Savannah, what remained of the former company - the building division in Wisconsin - was forced into bankruptcy. However, Mr Mohamed's company is unaffected by the problems of the Wisconsin entity, now operating under Chapter 11 as Palmer Johnson of Sturgeon Bay.

"The bankruptcy court is now studying an offer by Mr Mohamed to purchase the Wisconsin company as well.

"His vision is to re-unite the companies once again and combine them with his recent purchase of the assets of former Intermarine Savannah, which more than doubled the capabilities of PJS and transformed the Savannah operation to become the largest and most comprehensive shipyard for new builds, service and refit on the US East coast."

Mr Robinson, expected in Malta for the official opening of the new facility, added: "We are more committed than ever to the Malta project and plans are on track for our expansion into a large yacht refit and repair on the island.

"We are expecting the arrival in July of the 52-metre M/Y Mayan Queen here from the US for work. It will be followed into Dock 3, now uniquely outfitted for yacht work to be conducted under the retractable top, by a series of superyachts later this summer."

The partnership between American yacht builders and refitters PJ and the Malta Shipyards, as the Maltese 'yards are now to be known, was finalised last September. Since then it has already won seven contracts, including the prestigious Alexander, putting it on track to reach its projected annual turnover of Lm1.5 million.

Other contracts have already been lined up and inquiries are coming in.

The partnership is based on developing Dock 3, which nestles underneath the picturesque bastions of Senglea, into a superyacht facility. The dock will be able to take two 40 metre-plus yachts under a retracting cover, with another two in the dock not under cover, and another three alongside the quay.