Leonardo ready for M&A in Europe
Leonardo has recorded notable success on the stock market, emerging as one of the best in the Ftse Mib. The group recently completed the sale of approximately 7% of the shares of its American subsidiary, DRS. The market is now carefully evaluating the strategic moves that the group will undertake to effectively use the resources obtained through this operation. Il Sole 24 Ore reports it. The sale of 18 million DRS shares, equivalent to 6.9% of the capital, were sold at a unit price of 17.75 dollars, with a discount of approximately 14% compared to the values listed on the Nasdaq the day before the announcement of the operation.
Read also: Leonardo, the joint venture for the sixth generation Tempest fighters is underway
This price, judged relatively low by Banca Akros, generated overall proceeds of at least 319 million dollars for Leonardo. The collection could increase by another 48 million dollars if the placing banks decide to exercise, within 30 days, the option to purchase a further 2.7 million securities. Leonardo’s share in DRS now stands at 73.3% (or 72.3% in case of exercise of the option). According to Banca Imi, this move is to be viewed positively as it offers Leonardo the financial flexibility necessary to pursue value-enhancing mergers and acquisitions (M&A) operations in Europe.
Read also: Aerospace, Leonardo and Hera together for the recovery of carbon fibres
Leonardo CEO Roberto Cingolani said: “This operation allows us to increase financial flexibility to focus on investments and acquisitions that create value for Leonardo, while maintaining a solid financial structure.” In addition to the recent financial operations, the market’s attention is now turned to the announcement of the industrial plan scheduled for February-March 2024. Cingolani reiterated his desire to review some international joint ventures, in particular with Thales Alenia Space, and Banca Akros analysts highlight the potential of a contract for Eurofighters Typhoon fighters in Turkey. The local Turkish Defense Minister confirmed negotiations for the purchase of 40 aircraft produced by the consortium participated by Leonardoraising further expectations about the group’s next strategic moves.
#Leonardo #sells #DRS #shares #prepares #Europe