The British government has signaled it will give the green light to a £4 billion (US$5 billion) takeover that would see local defense contractor Cobham acquired by a US-based private equity company.
Business Secretary Andrea Leadsom announced November 19 that she was “minded to accept” the proposed takeover, but would put out for public consultation assurances given by Advent International regarding British security concerns before making a final call.
Advent moved to buy Cobham in July securing the approval of 93% of shareholders in the Wimborne, southwest England-based contractor best known for its world leading role of air-to-air refueling technology.
Cobham’s annual turnover of £1.86 billion (US$2.4 billion) took it to 57th place in the Defense News Top 100 companies listing earlier this year.
Over 50% of its revenues were generated in the United States where the company has substantial manufacturing facilities.
Full Content: Financial Times
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