The United States Navy has written onerous change-of-control...

The United States Navy has written onerous change-of-control provisions into long-running contracts potentially worth billions of dollars with Austal, the ASX-listed shipbuilder fielding interest from acquisitive international firms.The provisions and the strategic importance of the work being done by Austal – including warships, coastguard vessels and submarines – mean only a narrow field of private equity funds, mainly in the US, will be able to make a takeover offer for the company. Austal counts Andrew and Nicola Forrest as its major shareholder, with a 19.9 per cent stake.Korean conglomerate Hanwha, which The Australian Financial Review’s Street Talk column reported had engaged Macquarie Capital to prepare a bid for Austal, is the suitor most likely to struggle to be approved by the US Navy. Asked about the change-of-control provisions on Wednesday, Austal chief executive Paddy Gregg said any party interested in acquiring the company would need to satisfy themselves they would gain that approval.