Mon, 09 Apr 2018 | BUSINESS SALE
Rolls-Royce has announced it will sell its fuel injection company L'Orange to US firm Woodward in a £610 million deal as part of its plans to boost its balance sheet and boost the capital available to the firm for use in pursuing opportunities that will provide greater returns.
The sale of the Rolls-Royce Power Systems subsidiary has been backed by the boards of both firms in the hope it will "improve the resilience" of the company's profits and is expected to be completed by June 2018.
The sale will take place under the leadership of chief executive and former ARM chief Warren East, who began selling some of the company's assets when its fell in financial trouble two years ago.
Commenting on the forthcoming sale, Mr East stated that it would enable Rolls-Royce to apply greater focus on other high-growth opportunities and to ensure funds are allocated to developing core technologies that provide strong returns in the long-term.
"This transaction builds on the actions we have taken over the last two years to simplify our business," he said. "We have enjoyed working with L'Orange who have a leading position in their markets, excellent technology, a skilled workforce and strong leadership. We wish them well as they join the Woodward organisation."
Rolls-Royce announced a return to profit in March 2018, marking a significant recovery following its fall into the red by £4.6 billion in 2016. As well as benefitting from division sales, the company also gained a £2.6 billion accounting boost as a result of the strengthening of the pound.
Well-established company specialising in the manufacture and supply of high quality work wear mainly for the healthcare industry being an approved provider to the National Health Service but also supplying other industry sectors. The company is long...
LEASEHOLD
Manufacturing business operating in a clearly identified niche market. The business has been operating for almost a quarter of a century and has built up a first class reputation. Offers invited.
FREEHOLD
Well established business dealing in a niche market. Work undertaken for commercial and domestic use. Company operates throughout the UK and will design, manufacture and install. Offers invited.
LEASEHOLD
|
17
|
|
Jan
|
Sample book and shade card manufacturer acquired from administration | BUSINESS SALE
The business and assets of Yorkshire-based display products ...
|
16
|
|
Jan
|
Northgate and Redde shareholders approve merger | MERGER
The proposed merger of listed companies Northgate and Redde ...
|
15
|
|
Jan
|
SSE sells retail business to OVO Energy | DIVISION SALE
Power utility SSE has announced it has completed the sale of...
Sign up to receive our acquisition alert emails to get your FREE guide
|
12
|
|
Mar
|
AE Aerospace on route to expand after MBO | MBO/MBI
The directors of engineering solutions firm AE Aerospace hav...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources