Meggitt disposes of its Danish ceramics unit for £59m
Meggitt, the Ansty-based manufacturer of components for the power and aerospace industries has announced its disposal of Meggitt A/S to CTS Ceramics Denmark A/S for a cash consideration of £59m.
Denmark-based Meggitt A/S manufactures high performance piezoelectric ceramic components for medical and industrial applications.
The firm says the disposal is consistent with its strategy of developing sustainable and differentiated technologies for its core end markets in aerospace, defence and energy and follows a number of disposals over the last four years.
Meggitt A/S had gross assets of £23m and profit before tax of £2.9m in the 2021 financial year.
The cash proceeds to be paid on completion will be used to pay down debt and for general corporate purposes.
This week, the £6.3bn deal to sell Meggitt has taken a step closer following after it won the backing of the European Commission.
The Commission released a statement on April 11th saying that the proposed deal met its competition requirements.
The deal to sell Meggitt has been on hold for several months after the UK Government issued a public intervention notice over Parker-Hannifin’s takeover attempt, which was announced last August. Then, the takeover came with some caveats tied in because of the sensitive work Meggitt undertakes for the UK Government.
Business Secretary Kwasi Kwarteng is still to rubber seal the deal, which will see Parker sell its Ohio-based aircraft wheel and brake division.
