TORM acquires 75% stake in Danish scrubber manufacturer

TORM A/S has purchased an ownership stake of 75% in Danish exhaust gas cleaning system (EGCS) manufacturer ME Production (MEP).

The new partnership builds on a year-long collaboration between TORM and MEP with the two companies working closely together, especially in relation to TORM’s scrubber commitment. As previously reported, in May, the product tanker operator announced it had installed 52 scrubbers out of 60 planned, including scrubbers installed on purchased second-hand vessels. The remaining scrubbers are expected to be installed before the end of Q3 2023.

TORM has acquired 75% ownership from the present owner and founder, Jens Peter Faldt. MEP will continue as an independent, stand-alone entity and will continue to serve its existing customer base. The current management and production team at MEP will continue without any changes. Faldt will continue as CEO, maintaining 25% ownership of the company.

‘With the new ownership structure with TORM, MEP will have a stronger foundation to support the development of the business,’ said Faldt. ‘Our mission is still to create cleaner air by developing more green solutions and helping our customers to reduce their environmental footprint. That ambition is strengthened now that we are able to combine MEP’s capabilities in research and production of emission-saving equipment with TORM’s shipowning and ship management experience.’

Jesper S. Jensen, Head of the Technical Division at TORM, added: ‘We are delighted to enter into a further integrated partnership with MEP to continue our journey towards decarbonisation. I am convinced that combining the experience and engineering resources at MEP with the operational excellence at TORM will help us in achieving our environmental targets, where we have decided to push fast forward to deliver a 40% reduction by 2025 and 45% by 2030 compared to 2008.’

Image: Shutterstock

Rhys Berry