Peter La Franchi/CANBERRA
EADS has made its first acquisition in the defence field in an agreement with Saab Aviation Services to sell the military aircraft division of Sydney-based Hawker Pacific to the European giant. A deal is expected to be announced in the next few days. The sale is understood to have been finalised earlier this month and provides EADS with its first industrial presence in the Australian market.
Hawker Pacific's military aircraft division holds extensive contracts with the Australian Department of Defence, including deep level maintenance for the Royal Australian Air Force's Lockheed Martin P-3C Orion maritime patrol aircraft, de Havilland Canada DHC-4 Caribous and Dassault Aviation Falcon 900s.
The sale comprises 30% of Hawker Pacific's Australian operations and follows an extended search for a new owner after Saab elected to shift out of the aviation marketplace in Australia following its own take-over of Sweden's Celsius last year.
Celsius acquired Hawker Pacific from UK-based industrial group BTR in 1998. Saab says negotiations are still ongoing and "we decline to speak any further".
EADS declines to comment but the purchase would be in line with the Airbus dominated group's efforts to increase sales in the defence sector - although this is likely to be achieved primarily by electronics sector acquisitions.
Australian industry sources say Saab is seeking a separate buyer for the commercial aircraft division of Hawker Pacific.
Source: Flight International
