The Danish groupDFDShas acquired themaritime crossings betweenSpainandMorocco, which is the most profitable operation of Naviera Armas. This transaction, valued at300 million euros, represents a significant turning point for the crucial routes in the Strait of Gibraltar.

A Strategic Acquisition at the Core of Naviera Armas’ Operations

A preliminary agreement has reportedly been reached betweenDFDSand the main creditors of Naviera Armas (JP Morgan and Barings) for this strategic divestiture. It includes the routes connecting the port of Algeciras to Ceuta and Tanger Med, which are vital for the transport of goods and passengers. This segment accounts for over60% of Naviera Armas’ operating profit.

Naviera Armas has been facing significant financial difficulties, exacerbated by its acquisition of Trasmediterránea in 2018. With a debt nearing 800 million euros, the company was placed under judicial administration in 2023. The Cheyne and Bain Capital funds then took control of 94% of its capital.

DFDS Strengthens Its Presence in the Mediterranean

Naviera Armas Faced Significant Financial Difficulties, Exacerbated…

The asset sale was deemed the solution, given the lack of a comprehensive buyer for the entire group. The Strait of Gibraltar segment, due to its exceptional profitability, was the centerpiece. DFDS, which has been established in the Mediterranean since 2022 with the acquisition of FRS Iberia and FRS Morocco (150 million euros), is thus reinforcing its position on one of Europe’s most dynamic maritime routes.

The increase in trade between Europe and Morocco, along with the rapid economic development of the Kingdom, gives this acquisition significant geostrategic value for DFDS. With a fleet of over 75 vessels, DFDS serves all of Northern Europe and ranks among the continent’s leaders, boasting a market capitalization of approximately 800 million euros.

The Future of Naviera Armas and Financial Challenges

Meanwhile, the inter-island division of Naviera Armas, focused on passenger traffic in the Canary Islands, remains on the market. Although Balearia and Boluda have expressed interest, no offers have yet met the creditors’ expectations.

Financial pressure is mounting for Naviera Armas: nearly 50 million euros are due by June 30, 2025, and an additional 225 million will be due in 2026. This situation has prompted Moody’s to downgrade the group’s credit rating to CCC, indicating a high risk of default.

The Future of Naviera Armas and Financial Challenges

If port authorities and regulators grant their approval, the final signature could occur in the coming weeks. Naviera Armas would then relinquish its historic position on these key routes in the Strait in favor of DFDS.