The UK Government intended to accept the acquisition of Meggitt by US buyers | Meggitt

The UK government has indicated that it is likely to accept the £ 6.3 billion acquisition of a British defense maker. MeggittSecond transaction by US buyers, receiving a green light in a week.

Parker Hanefin, an American industrial conglomerate, said Wednesday that the acquisition will be completed within two months of obtaining consent from a UK business secretary. Kwasi Kwaten..

Based near Coventry, Megit manufactures the F-35 fighter and A400M transporters used by the British Army, as well as wheels, materials and electronics for commercial aircraft manufactured by Airbus and Boeing. Meggitt employs approximately 2,300 workers in the United Kingdom and 9,000 workers worldwide.

The acquisition was one of a series of approaches by US investors to medium-sized UK companies. Concerns they were underestimated According to the stock market after the coronavirus pandemic blockade. Another medium-sized target, a £ 2.6 billion acquisition of Ultra, a manufacturer of electronics for nuclear submarines, by a US private equity firm. Preliminary consent from Kwasikwaten Last week, while the government was still considering a £ 5.4 billion deal for satellite company Inmarsat By its US rival Viasat..

The British government said Tuesday night that, for national security and competition reasons, the business secretary “is trying to accept the promise made by Parker Hannifin to address concerns.”

To address national security concerns, Parker respects existing contracts with the UK Ministry of Defense, leaving a majority of British citizens in the UK on the board of directors of Megit, with some military technology remaining in the UK. I agreed to do so.

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In May, Parker sold its aircraft wheels and brakes to US rivals to satisfy European competition regulators. The UK has confirmed that a sale is also required to meet that requirement.

Parker, based in Cleveland, Ohio, countered Meggitt’s rival bid. By TransDigmAnother Cleveland-based industrial conglomerate, advertised the purpose of “providing private equity-like returns” from investments.

Tom Williams, Parker’s Chairman and Chief Executive Officer, said: .. The combination of Parker and Meggitt is an exciting opportunity for both companies and we look forward to welcoming Meggitt to the Parker team. “

The UK Government intended to accept the acquisition of Meggitt by US buyers | Meggitt

Source link The UK Government intended to accept the acquisition of Meggitt by US buyers | Meggitt

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