General Dynamics announced Wednesday it has reached an agreement to acquire Metro Machine Corp., one of the U.S. Navy's more significant repair yards that supports the U.S. Atlantic Fleet at Norfolk, Va.
In a press release, GD did not disclose the value of the cash transaction but said it "is expected to close in November."
Metro Machine is a privately held company located at the confluence of the Southern and Eastern branches of the Elizabeth River, directly across from Norfolk's Waterside development and Nauticus naval heritage centers. The yard employs about 400 workers. Destroyers, frigates and all types of amphibious ships have been serviced at the yard.
When the deal is finalized, GD said, Metro Machine will become part of the shipbuilding and repair operations of GD's NASSCO shipyard based in San Diego. NASSCO is the largest shipbuilding and repair company on the West Coast and is a prime contractor for multiship, multioption maintenance, modernization and repair contracts for Navy ships.
"With its Norfolk location, Metro Machine Corp. will extend the reach of NASSCO's ship-repair operations to a key East Coast naval port," Fred Harris, president of General Dynamics NASSCO, said in the release. "This move will enhance General Dynamics' ability to deliver cost-effective maintenance and repair services to the U.S. Navy, helping the Navy to maximize the life of in-service ships and better serve the ship-repair needs of the entire U.S. fleet."
Metro Machine is adjacent to BAE Systems Norfolk, formerly Norfolk Shipbuilding and Drydock Co., and across the Elizabeth River from the Norfolk Naval Shipyard in Portsmouth, Va.
The Metro Machine yard features a 750-foot long, 160-foot wide floating drydock named Speede, built in Romania and delivered in 2002. The dock is able to lift 40,000-ton ships, including amphibious assault ships.