Balaena has acquired APCL Group in a £150 million transaction, adding four UK shipyard assets to its expanding shipbuilding and repair portfolio.
The deal includes Cammell Laird, A&P Tyne, A&P Falmouth, and Falmouth Docks and Engineering Company. The yards were grouped under APCL in 2023 as part of Peel Group.
After the acquisition, Balaena said the enlarged business will operate 12 dry docks and employ more than 2,000 people. Its activities will cover the UK and extend into the Mediterranean, creating what the company described as the country’s largest ship repair and refit network.
The group will serve the Royal Navy, Royal Fleet Auxiliary, offshore energy projects, cargo vessels, cruise ships, and ferries. Balaena already has a long-term defense workload at its Gibraltar yard, where almost one-quarter of its capacity is assigned to UK naval-related work. It also operates a smaller yard in Cornwall.
Balaena plans to modernize APCL’s facilities and expand capacity in ship repair, offshore fabrication, and low-emission propulsion systems. The company also intends to work with colleges and maritime training institutions on a national skills and apprenticeship program.
Founded in 1828, Cammell Laird is one of the UK’s oldest shipbuilding names. Its history includes passenger ship construction and the aircraft carrier HMS Royal Ark, which entered service in 1955. More recently, the yard delivered a polar research vessel and produced blocks for UK defense programs, including aircraft carriers, submarines, and the Type 26 frigate program.
A&P Tyne has also supported Type 26 frigate construction and has provided maintenance services for UK defense shipbuilding projects.
The acquisition comes as the UK gives shipbuilding a higher strategic priority. In March, the government identified shipbuilding, steel, artificial intelligence, and energy infrastructure as key sectors for national security, with guidance aimed at strengthening economic security and industrial resilience.
The transaction also reflects wider consolidation in UK shipbuilding. Navantia has acquired four shipyards from Harland & Wolff and secured UK defense shipbuilding work.
Industry observers view Balaena’s acquisition of APCL as a strategic step ahead of the UK government’s planned Future Fleet Plan, part of the delayed Defense Investment Plan. The move is expected to increase competition between established UK yards and expanding groups such as Balaena and Navantia.
