American Roll-On Roll-Off Carriers (ARC) has lost out on a multibillion-dollar US government contract.

After protests from competitors lodged last October, the Government Accountability Office (GAO) ordered the US Transportation Command to reconsider the New Wallenius Wilhelmsen subsidiary's winning bid for a $7.2bn contract to help move military members, civilian staff and their families.

On Thursday, the Jersey-based company announced its bid was not selected.

"ARC has requested a debrief from the United States Transportation Command ... and will reassess its options to protest the decision," the company said in a statement. "Any further announcements will be made as and when needed."

The contract, known as the Global Household Goods Contract, could have run as long as nine years and would have seen ARC provide services to Department of Defense and Coast Guard personnel and employees.

When ARC was initially awarded the contract in May 2020, it said moves can happen every two or three years, adding that the company's "superior quality, deep experience and increased capacity" could help ease the stress of those frequent transitions.

But Jacksonville's Connected Global Services and Houston-based HomeSafe Alliance challenged ARC's status as a "responsible contractor" and the GAO ordered a new round of presentations be made ahead of a new decision.

In a note, Kepler Cheuvreux said the decision could lead to negative revisions to Wallenius Wilhelmsen's consensus estimates for 2022 and 2023, although its estimates do not include revenues from the contract.

"We believe the fact that ARC was not awarded the contract may be perceived negatively and add some pressure to [Wallenius Wilhelmsen's] share price," the financial firm said.