Rolls-Royce reports it completed the sale of its Naval Propulsors business to Fairbanks Morse Defense, including specialty and stainless steel foundry in Pascagoula, MS, that casts large-scale propulsion components for the US Navy, including controllable pitch propeller blades, hub body castings, large fixed-pitch propellers, and waterjets.
The terms of the sale were not announced. Fairbanks Morse Defense, headquartered in Beloit, WI, builds, maintains, and services naval power and propulsion systems for the U.S. Navy, U.S. Coast Guard, Military Sealift Command, and Canadian Coast Guard.
“This acquisition represents a strategic investment in sustaining the United States’ defense manufacturing capabilities and ensuring we remain prepared to meet mission-critical demands,” stated Steve Pykett, CEO of Fairbanks Morse Defense. “The Pascagoula foundry, in particular, plays a vital role in supporting the Navy’s maritime dominance, and its continued operation expands our capacity to serve as a trusted partner to the U.S. military.”
The buyer is also taking over a naval propulsor manufacturing, repair, and testing operation in Walpole, MA.
Rolls-Royce had announced its plan to sell its naval propulsors business in September 2024. It is a critical part of the defense supply chain, and the only privately owned foundry in the U.S. capable of casting large, “Navy standard” propulsor systems. Rolls carried out upgrades of the casting and machining operations in 2020 and 2022.
A separate sale of Rolls’ Naval Handling business in Peterborough, Ontario, also to Fairbanks Morse Defense, is still pending.
Rolls-Royce retains the Naval Gas Turbines and Generator Sets operations, which provide power technologies for naval propulsion and onboard power needs.