Finmeccanica has signed a final agreement with GKN for the acquisition of the UK company's 50% stake in AgustaWestland.
The €1.56 billion ($1.89 billion) deal remains conditional, on approval by GKN's shareholders and on achieving the necessary regulatory clearances, and includes €52 million to be held in an escrow account, to be repaid to Finmeccanica if the Future Lynx contract is not awarded to AgustaWestland by the UK Ministry of Defence. Completion of the transaction is expected by the end of the year.
Finmeccanica chairman and chief executive Pier Francesco Guargalini says the deal "fits perfectly into our strategy to internationalise our exposure to defence budgets and to increase selectively the dimensions of our core aerospace and defence business".
Source: Flight International
