Hammonds completes Rosyth dock privatisation

Hammond Suddards spent three years negotiating the £27m privatisation of the Rosyth Royal Dockyard with the Ministry of Defence, which is expected to complete by the end of February.

Hammonds used a 12-strong team, mainly based in its Manchester office, and led by corporate partner William Downs, to advise the purchaser, Babcock International, on the deal.

Employment partner Susan Nickson was brought in to help negotiate one of the largest redundancy buy-out arrangements ever seen in the UK with the 3,200-strong workforce. All workers will be kept on, said Nickson, but they were paid £48m to give up the enhanced redundancy terms which they had as public sector workers.

Part of the negotiations involved winning the dockyard guaranteed refit work from the Royal Navy for 10 years.

Scottish firm Morton Fraser Milligan WS also advised Babcock and Brodies advised the MoD.