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General Dynamics acquires Jet Aviation |
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Wednesday, 24 September 2008 |
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US defence group General Dynamics has agreed terms to acquire Zurich-based Jet Aviation.
Aerospace and defence company General Dynamics (GD) has announced a definitive agreement to take over Switzerland's Jet Aviation for CHF 2.45 billion (£1.21 billion).
The proposed acquisition, which has been approved by directors of both companies, will allow GD to branch into several new areas of the business aviation industry, including jet maintenance, repair and overhaul, fixed-base operations and private management.
The Gulfstream business jet maker added that the takeover would give it greater geographical reach, adding operations at leading executive jet airports in Dubai, Jeddah, Riyadh, Beijing, Hong Kong, Kuala Lumpur and Singapore.
GD chief executive Nicholas Chabraja commented: "We will expand our participation in the business aviation industry well beyond that of our current operations."
The deal is expected to be completed by the end of the year. The Zurich-based aviation company is one of the world's leading business aviation services groups.
Earlier this year, aero-engine manufacturer Rolls-Royce predicted that business jet deliveries will grow significantly over the next 20 years.
It forecast that the engine market for medium and large business jets will be worth $110 billion (£60 billion) through to 2028.  |
