The Torm shipping company, which has a fleet of around 90 ships, will in future hold all the shares in MP Production, a Danish specialist in scrubber and energy systems, and intends to invest more in the company.
The shipping company, which is also Danish and listed on the Nasdaq in New York and Copenhagen, intends to expand its “environmental technology expertise”, according to a press release.
A “long-standing partnership” will become “full ownership”, the statement continued. Tanker shipping company Torm has already held 75% of the shares in MEP since 2022, and the remaining 25% will now also be acquired by founder and CEO Jens Peter Faldt.
MEP is a Danish engineering company that has made a name for itself with “environmentally friendly maritime equipment”. The two companies have worked closely together since 2018, when a joint venture was established to manufacture exhaust gas purification systems (scrubbers) in China. Since then, more than 70 systems have been installed on Torm ships. In the future, MEP will continue to operate as an independent company headquartered in Frederikshavn, Denmark.
“With our vision to offer clean technologies in mind, we need a strong partner and major investments in research and development to bring new products and services to the market. I believe this is the right time for MEP to join a committed owner. With the full support of Torm, we are well positioned to pursue our ambitions and expand the reach of our technologies,” said Faldt.
As sole owner, Torm will provide MEP with greater strategic support and investment in the company, which is expected to expand MEP’s role as a center for industrial innovation. The company is developing a number of “green” solutions. One of the projects is a heat pump system that reduces the energy consumption and environmental impact of ships and industrial plants by utilizing waste heat. MEP is seen “as a technical development center that supports Torm’s environmental goals and creates long-term added value for the entire industry, made possible by the expertise and innovation of Torm’s integrated platform for ship operations,” the shipping company continues.
Through their collaboration, Torm claims to have reduced CO₂ intensity by 40% in 2024 compared to 2008. The technical cooperation between the two companies played a key role in achieving this milestone. However, further innovation and investment is needed to stay ahead.
“By fully integrating MEP into the group, we can strengthen our innovation efforts and scale the technologies that support our environmental strategy,” said Jesper S. Jensen, Head of Engineering at Torm. “MEP has proven its value as a development and innovation partner. I am confident that with our support and full commitment, MEP can create even more value for Torm and not least for the entire maritime sector.”
