The Mali Lošinj shipyard has inherited a tradition that has existed since 1850, when the construction of wooden sailing ships for ocean-going and coastal voyages began on this site. It started working under the ownership of the Martinolić Kolonić family. The first owner was Marko Martinolić, son of Nikola, who became independent after working for Siksto Katarinić. The shipyard was managed by the Martinolić family for decades, until the collapse of the Austro-Hungarian Monarchy. At the beginning of the 20th century, the shipyard also built steamships, motor boats, motor sailboats and yachts. Between the two world wars, Lošinj shipbuilding barely survived with two shipyards, Martinolić's and Picinić's. Martinolić's shipyard changed its name to Cantieri del Mediterraneo. After the liberation of the island, in 1945 these two shipyards merged and with their nationalization in 1948 the Lošinj Shipyard was created, with significant funds invested in its modernization. The shipyard specialized in the construction of passenger and cargo ships up to 1,000 GRT, hydrofoils, minesweepers of laminated structures, fishing boats, sports boats and sailboats. Lošinjska plovidba was founded in 1958, and included three basic activities, three organizations of associated labor: Shipping, Shipyard and Tourism. The shipyard mostly worked for the shipping companies Jugolinija and Jadrolinija, and was a subcontractor to other shipyards in Yugoslavia. Production took place more or less regularly until 1965, when the Lošinj shipyard went bankrupt. Over 250 shipyard workers lost their jobs. After 1965, the former shipyard was first taken over by the Kvarner Express company from Opatija with the aim of building a marina. In the seven-year period to 1973, the Lošinj shipyard mainly performed repairs for Lošinjska Plovidba, and from 1 January 1973, Vulkan, Lošinjska plovidba and the Mali Lošinj Shipyard were finally merged. Since 1973 it has been operating within the Lošinjska plovidba company. After the transformation of social ownership, a new registration of the company was made to Lošinjska plovidba – Holding dd, which is the full owner of LP Brodarstvo doo, Brodogradilište doo and LP Turizam d.o.o.