Amsterdamsche Droogdok Maatschappij (ADM) was a Dutch company that repaired ships using dry docks in Amsterdam, Netherlands. After World War II it also built some ships.
Context
Port of Amsterdam By the early 19th century the once famous commercial center Amsterdam had a very poor connection to the sea. The situation improved by the construction of the Noordhollandsch Kanaal, completed in 1824. It soon turned out that by itself, the canal did not create a suitable port for Amsterdam. This was done by creating the wet docks Oosterdok and Westerdok. Outside of these docks, docking was hindered by tides and other inconveniences. Inside these docks, the 'Rederij der Drijvende Droogdokken' (floating dry docks shipping line) built three wooden floating dry docks in the 1840s. The first of these, Amsterdam Wooden Drydock I can be considered to have been the first modern floating dry dock in Europe.
The North Sea Canal By the 1850s it was clear that Amsterdam needed a more direct connection to the North Sea. This would lead to the construction of the North Sea Canal, opened in November 1876. The new canal had a lock that could service ships of 120 m by 18 m and with a draft of 8 m. The canal only reached the first required depth of 6.5 m in October 1878. Meanwhile the IJ Bay was closed off by a dam east of Amsterdam.
It all meant that larger ships could reach Amsterdam. These could not (easily) reach, and would not fit the existing dry docks. Meanwhile the closure of the IJ had created new possible locations for (floating) dry docks, while the existing ones were locked up in the old wet docks.
Foundation of ADM
Stoomvaart Maatschappij Nederland Stoomvaart Maatschappij Nederland (SMN) was a shipping line founded in 1870. Its goal was to operate a regular service to the Dutch East Indies with steamships via the Suez Canal. To do this it bought four very large ships, e.g. SS Willem III. These did not fit the Noordhollandsch Kanaal, and therefore the company had to operate from Nieuwediep. SMN wanted to operate from Amsterdam as soon as the North Sea Canal was deep enough. However, at Nieuwediep the navy base Willemsoord had a dry dock which was suitable for the SMN ships, and which the navy made available to help SMN. When the opening of the North Sea Canal became imminent, the board of SMN asked its shareholders for permission to participate in a company to establish a suitable dry dock in Amsterdam. In the general shareholders meeting of 4 May 1875, this permission was granted for up to 500,000 guilders.
ADM is founded The ADM plan was conceived by A.A. Bienfait, J. Boissevain, P.E. Tegelberg and G.A. Tindal. They first had engineers design a plan for a dry dock that could receive the biggest ship that could pass the North Sea lock of the canal. They then asked the municipality for a place to station the dry dock and to build a repair shipyard. For all of this, they had the support of SMN.
The founders then started to raise funding. There would be 400 shares at 1,000 guilders each. They first contracted for 250 shares with SMN, and perhaps others. On 24 July 1877 they then opened the subscription to 150 shares, and 500 bonds of 1,000 guilders. The offer succeeded for the shares, but the public took less shares than expected. Placing the bonds was also problematic. Only 405 bonds were taken, and so the bond offer was extended to the 27th. The extension indeed succeeded in placing the other 95 bonds.
In 1877 there was also a competing plan for a large dry dock in Amsterdam. This was made by C. and J. von Lindern from Alblasserdam, and would also be realized. This might also explain the interest of SMN. If somebody (i.e. Von Lindern) created a suitable dry dock in Amsterdam or at Nieuwediep, the government would no longer allow the use of the navy dry dock at Willemsoord. Such a situation would become very problematic for SMN if the only suitable dry dock at Amsterdam was occupied. The only other Dutch dry dock which was long enough for the SMN ships was Middelburg Drydock.
Amsterdamsche Droogdok Maatschappij was founded by contract on 17 August 1877. Its goal would be to construct or buy, and operate one or more dry docks in Amsterdam. Furthermore to create an establishment for repairing ships, and storing and delivering coal and cargo. Of the 400 shares, major shareholders were: SMN for 270 shares and Koninklijke Nederlandse Stoomboot-Maatschappij for 25 shares. Others had smaller holdings, amongst them the people who took the initiative to found ADM. SMN would have priority use of the dry docks that the company would manage, but would not pay a lower price. The first executive board would consist of: A.A. Bienfait, J. Boissevain, P.E. Tegelberg, and G.A. Tindal. The first board therefore indeed consisted of the founders of the ADM. In late December 1877 they would be joined by Robert D. Crommelin.
Location
Negotiations with the municipality about a location for the dry dock had started on 22 May 1877. On 23 August the ADM board had made a formal request for a terrain to the city government. ADM first asked for grounds next to the new Willem III Lock, which was denied. The properties committee of the Amsterdam Municipality then proposed a terrain south of the Petroleum storage for a relatively low price. This terrain was refused by ADM, and then Von Lindern showed interest in that terrain. In October the committee offered another terrain to ADM. ADM could buy 120 ares of land just east of the start of the Noordhollandsch Kanaal, on the north side of the IJ Bay. These lands belonged to the municipality and were referred to as 'Buitenvogelwijkslanden', in the eastern part of Volewijk headland. 60 ares of water could be rented to place the floating dry dock. The price for the land would be 72,000 guilders under stipulation that it could only be used for the dry dock and connected activities. Otherwise the price would be 120,000 guilders, i.e. 6 or 10 guilders per centiare. The area of water could be hired for 50 cents an are per year, i.e. 30 guilders a year.
On 22 October ADM stated that it agreed with the location, even though it differed from the one it had asked. However, it wanted to pay no more than 20,000 guilders for the land, and 60 guilders for the water. It also did not want to pay for dredging a channel towards the floating dry dock. The city government then proposed to offer the lands to ADM for 72,000 in a municipal council meeting on 7 November. Some council members wanted to sell the land for 2 guilders a centiare, or 24,000 guilders, because of the interest that Amsterdam had in attracting SMN to the city. This started a discussion in which some argued that if Amsterdam wanted to subsidize ADM in order to attract SMN, this should be done by other means, because the lower price would depreciate all grounds in the surroundings. In the end, the council lowered the price to 24,000 guilders. On 9 January 1878 the conditions of the deal were confirmed by the municipal council.
Koninginnedok is acquired
On 8 January 1878 ADM tendered the construction of its first dry dock. It was to be a floating iron dry dock for merchant and navy ships. The design was made by engineers of John Elder & Co. Shipyard. It was to be capable of lifting 4,000 tons. It would consist of two parts that could be used separately. After many parts had been built and launched separately, the dry dock was assembled, and christened Koninginnedok. On 6 May Stad Amsterdam of 360 feet and 3,319 ton was lifted successfully.
The repair shipyard is constructed East of the dry dock, architect Van Gendt designed the repair shipyard. It consisted of workshops with a total size of 57 m by 20 m, and a separate management building 30 steps away from these. The workshops would contain a big and small steam hammer, cutting- and drilling machines, and planers, all steam driven. There would also be copper foundry, as well as all other necessities for modern ship repair. In fact, this repair shipyard would be a reincarnation of Bosch Reitz Shipyard from Den Helder. ADM bought all the inventory of that shipyard, and by laying out the new shipyard according to the same plan, all machines could be re-used without changing the line shafts and belts. Actually placing the machines would be done after the dry dock was ready.
Operation
First years (1879–1884) On 6 May 1879 ADM was in regular business with the docking of the steamer Stad Amsterdam. On 20 May 1879 it held its first general shareholders meeting at the offices of the SMN. In the first year, Koninginnedok was not that busy. ADM also acquired a so-called () for smaller vessels, and was able to pay 2.5% dividend. In 1880 Koninginnedok was a bit more busy, and the Vijzeldok also had some business. Dividend over 1880 was 7.925%. SMN then offered 100 of her shares at 110% on 10 May 1881, which were sold. ADM also asked the municipality to buy 7.2 ares more land. In 1881 the dry dock was occupied about 90% of the year, and dividend was 7.99%. Over 1882 dividend was 9%.
Without competition (1884–1897)
1883 and 1884 were good years for ADM, with Koninginnedok being very busy. On 17 October 1884 ADM then bought NMSD, the dry dock company of Von Lindern. In November 1884 ADM asked the municipality of Amsterdam to buy grounds south of Koninginnedok in order to place a second dry dock. ADM raised 300,000 guilders in bonds to pay for Von Lindern. The dry dock of Von Lindern was then renamed Koningsdok.
ADM paid a dividend of 9% over 1884. The next years saw ADM paying 6-7 % dividend a year, climbing to 9% in the early 1890s. In 1894 and 1895 it was 11%. In 1897 the dividend over 1896 was slightly less at 9%. Meanwhile the small competitor Reederij der Drijvende Droogdokken demolished its Amsterdam Wooden Drydock II in the Westerdok in 1890, and went downhill till it sold its remaining dry docks in 1902.
High profits and bigger dry docks (1897–1914)
In December 1896 the Great Lock of IJmuiden (then called , now ) was opened. It was 225 m long and 25 m wide. The board of ADM was then authorized by the shareholders to raise a loan for a new, larger dry dock. On 7 September ADM raised a loan of 650,000 guilders at 3.5%. Later in September 1897 ADM then ordered her third dry dock at Nederlandsche Scheepsbouw Maatschappij for about 700,000 guilders. It would be 424 feet (129 m) long, and capable of lifting up to 7,500 tons. On 14 May 1899 this dry dock was taken into use as Wilhelmina-dok later written Wilhelminadok.
In the early 20th century dividend remained high. In 1901 the municipality of Amsterdam sold a landward strip of 278.8 mm by 20 m to ADM for 11,152 guilders. In 1902 ADM existed 25 years. It then had 370 permanent staff, and regularly employed about 200 others. The company continued to pay high dividends, and so the share price was at 160% in 1907. In February 1909, Koningsdok was moved from its old location to a new harbor that had been dug north of Koninginnedok.