Tue, 19 Nov 2019 | BUSINESS SALE
The British government is poised to approve the $5 billion takeover of defence company Cobham by US private equity firm Advent.
The deal, which was originally announced in July of this year, had been held up while Defence Minister Andrea Leadsom established whether it would pose a risk to national security.
However, the UK government is now minded to accept the deal after Advent made a number of commitments to assuage concerns. These commitments include placing a number of British executives on Cobham’s board, strengthening security at sensitive locations and informing the Ministry of Defence if it decides to sell Cobham in future.
The government will now run a consultation on Advent’s proposals until December 17. The deal would represent the first major takeover of a British company since Boris Johnson became Prime Minister in July.
In a statement, Andrea Leadsom said: “No decision will be taken on whether to accept the undertakings until the consultation has closed and the representations have been carefully considered.”
Shonnel Malani, partner at Advent, said: “Following the CMA’s review, we have worked closely with the Ministry of Defence to construct undertakings that would adequately mitigate against any potential national security risks and we welcome today’s decision by the secretary of state to propose to accept those undertakings, subject to consultation.”
Cobham was launched in the 1930s and now produces technology utilised in aircraft, including the F-35 Joint Strike Fighter and Eurofighter Typhoon, as well as in advanced naval vessels, satellites and military vehicles. The company currently employs around 10,000 people.
This is a unique opportunity to acquire a globally recognised, IP-led engineering company with over 100 patents in advanced materials, including graphene, and an accomplished leadership team with vast industry experience.
An enticing chance awaits to acquire a mini conglomerate of three engineering businesses, boasting a well-established client base and delivering a strong product and service offering across nationwide operations.
Here's a unique opportunity to acquire a highly regarded engineering solutions company in South Wales. With a strong reputation and a blue-chip client base, this business offers innovative metal fabrication and welding services from a well-equipped f...
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.