The Bundeskartellamt has cleared the establishment of a joint venture between thyssenkrupp Marine Systems GmbH (tkMS) and NVL B.V. & Co. KG (NVL) to participate in the German Navy's F127 defence project.

The F127 project aims to replace and enhance the capabilities of the current F124-class frigate by designing and constructing five frigates, with a potential sixth one, with the contract expected to be awarded in mid-2025 by the Federal Office of Bundeswehr Equipment.

tkMS oversees thyssenkrupp's naval shipbuilding, while NVL specializes in naval ship construction and repair. The naval shipbuilding sector typically involves long-term contracts awarded through competitive tenders, with the two companies having previously collaborated on projects like the F125-class frigates.

The President of the Bundeskartellamt, Andreas Mundt, highlighted the necessity of joint ventures in the unique naval shipbuilding market to combine resources and expertise for large-scale projects. The approval was granted swiftly in the first phase of merger control due to the collaborative nature of the venture.