The US-based private equity company, Advent International, will acquire the UK-based defense and aerospace business, Cobham.
Advent will purchase the firm for £4bn (US$5bn), Cobham announced in a press release on 25 August.
“We have worked intensively over the last two and half years to focus on our customers and our financial and operating performance, and these fundamentals, along with the investment in the business Advent can provide, will enable us to leverage the quality of our products and services,” stated David Lockwood, CEO of Cobham.
“Most of all, this offer reflects the potential for future growth and improving performance, and is an endorsement of our turnaround strategy and our hard working people.”
Advent have offered £1.65 ($2.06) per share – a 50.3% premium on Cobham’s average share price over the past three months.
“We are pleased the Board of Cobham has agreed unanimously to recommend the Acquisition of Cobham by Advent,” commented Shonnel Malani, a Managing Director of Advent International.
“We strongly believe in the importance and potential of Cobham's businesses and look forward to bringing our long track record of successful stewardship of companies to ensure that Cobham flourishes under our ownership.”