The companies were granted funding for project definition studies, from which the final selections would be made. Liaison teams were sent to each of the four companies to observe the development of the concepts presented in the initial proposals. As part of this process, the two submarine designers were required to establish a consortium with at least 50% Australian ownership: IKL/HDW joined with Eglo Engineering to form Australian Marine Systems, while Kockums (which had originally planned to work with Eglo) became part of a joint venture with the Australian branch of Chicago Bridge & Iron, Wormald International, and the Australian Industry Development Corporation to create the Australian Submarine Corporation.