MSC is in discussions to take over the roughly 80 percent of Meyer Werft held by the German federal government, Bloomberg News reported, citing people familiar with the matter.

The talks remain open-ended, according to Bloomberg, and other bidders could still come forward.

Of note, MSC and Meyer Werft had signed a deal for new ships in 2025, but that has yet to be finalized according to a statement sent out in June that said a deal was coming in a couple of weeks. The German shipbuilder did not reply to a request for an update from Cruise Industry News.

The Bloomberg report said no final decision had been reached and the discussions could collapse.

Officials on the government side are not willing to take a loss on the €400 million ($459 million) the two parties put into the company, two of Bloomberg’s sources said.

A sale would hand the more than 230-year-old shipyard back to private ownership. Berlin and Hanover stepped in during 2024 with the €400 million equity injection plus €2.6 billion in credit guarantees, after pandemic losses left banks questioning the yard’s creditworthiness.

MSC has grown its cruise business organically, investing in new ships and building at new ships at Fincantieri and Chantiers over the years. An acquisition of a major shipbuilder would give them newbuild slots going forward, and potentially keep others out at the same time.

This story is based on reporting by Bloomberg News. Read the full report here.