GKN agrees to acquire Fokker Technologies for EUR706 M
- Further strengthening leading Tier 1 aerospace supplier
- Compelling combination with an enhanced multi-technology portfolio
- Broadening geographic footprint in Europe, North America and Asia
- Fokker headquarters to remain in the Netherlands
GKN plc (“GKN”) today announces that it has agreed to acquire Fokker Technologies Group B.V (“Fokker”) from Arle Capital for an enterprise value of €706 million (£499 million).
The acquisition of Fokker further enhances GKN’s position as a leading global supplier to the aerospace industry. The combination brings together two leading technology companies with broad product portfolios and established positions on major aircraft platforms.
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Fokker is a specialist Tier 1 supplier to the commercial, military and business jet markets. With almost 5,000 employees Fokker is headquartered in the Netherlands and has operations in Europe, North America and Asia. In the year ended 31 December 2014, Fokker generated revenue of €758 million.
Fokker specialises in the design, development and production of lightweight aero structures, electrical wiring interconnection systems and landing gear. It also provides maintenance, modification and logistic services to aircraft owners and operators.
Kevin Cummings, Chief Executive, GKN Aerospace, said:
“Fokker is a great business with strong customer relationships and a recognised commitment to the development and application of innovative technology. It is an excellent business that fits well with GKN Aerospace. Strategically, this acquisition strengthens GKN Aerospace’s position as a market leader, enhances its global manufacturing footprint and adds new technology. It also increases GKN’s shipset value on key growth programmes in both the commercial and military markets. The addition of Fokker further strengthens GKN Aerospace’s ability to meet the demands of our global customers – now and into the future.”
GKN is a UK headquartered global engineering group with over 50,000 people working in the aerospace, automotive and land systems markets. It has manufacturing facilities in more than 30 countries. GKN Aerospace is a global Tier 1 supplier of airframe and engine subassemblies, transparencies and fuel/flotation systems, with sales in 2014 of £2.2 billion (€3.1 billion) and a global workforce of more than 12,000 employees. It has a significant participation on most major aircraft programmes today and a broad customer base spanning the commercial, military, business jets and space markets.
Hans Büthker CEO, Fokker Technologies, said:
“The combination of GKN Aerospace and Fokker will create a world-leading, innovative multi technology aerospace company with a global footprint. GKN Aerospace and Fokker together have an impressive multi-technology portfolio for our customers. Fokker can benefit greatly from the scale, innovation and financial power of GKN. The innovation and technology driven culture in this larger company will provide broader and new opportunities for our employees who will be participating in some of the world’s largest and most challenging aerospace projects.
“GKN was founded more than 250 years ago while Fokker has been at the forefront of aerospace technology for more than 100 years. Both companies understand the value of long term investment and the importance of operational excellence. The combination will help to meet the challenges of a more competitive and increasingly global aerospace market.”
Once the acquisition is completed, Fokker, under the current leadership, will become a new operating unit within GKN Aerospace. Fokker’s headquarters will remain in the Netherlands and its brand will continue to promote its strong heritage of technology and customer service. Fokker will also continue with its R&D and manufacturing facilities in the Netherlands as well as with its partnerships with the Dutch government and knowledge institutes.
Completion of the acquisition is expected to take place in the fourth quarter of 2015 following completion of the information and consultation procedures with the Fokker Works Council and trade unions, ITAR and CFIUS regulatory clearances and anti-trust clearance in the EU and the US.
Source : Fokker Technologies - view original press release