Austal Receives Up to $1.35 Billion Offer for U.S. Operations from Wildcat Infrastructure

Australian shipbuilder Austal (ASX:ASB) has received a non-binding takeover proposal worth up to $1.35 billion for its U.S. business from American firm Wildcat Infrastructure. The news sent Austal's shares sharply higher, outperforming the broader Australian market.

Details of the Offer

Austal announced that Wildcat submitted a non-binding indication of interest valuing Austal USA at between $1.25 billion and $1.35 billion on a cash-free, debt-free basis. The proposal is conditional on a four-week due diligence period, after which Austal's board will formally consider the offer.

According to the announcement, Wildcat intends to operate Austal USA as a standalone platform. The U.S. firm also indicated it would retain the Austal brand and the company’s existing U.S. operations.

Market Reaction

Investors responded positively to the potential bidding war for the strategic U.S. asset. Austal shares jumped as much as 9% to A$4.74, their highest level since August 12, before trading at A$4.60, a gain of 5.8%.

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This performance stood in contrast to the wider market, with the S&P/ASX 200 index down approximately 0.3% during the same period.

Bidding Context

Wildcat's offer raises the stakes in the sale process for Austal's American division. The bid exceeds a proposal made last month by South Korea’s Hanwha Group, which offered up to $1.2 billion for the same business.

The potential sale comes as Austal seeks to address significant financial losses in its U.S. operations. The division reported an EBIT loss of A$202.8 million for fiscal 2026, which contributed to a group-level net loss of A$53.6 million. In contrast, the company's Australasian operations posted record EBIT.