Safran to Secure EU Approval for $1.8 Billion Collins Deal
By Foo Yun Chee
BRUSSELS (Reuters) -French engine and aircraft equipment maker Safran is set to secure conditional EU antitrust approval for its $1.8 billion bid for Collins Aerospace's flight controls business, people with direct knowledge of the matter said on Wednesday.
The deal, which Safran announced in July 2023 and its largest since its 2018 acquisition of seat maker Zodiac seven years ago, will help it better prepare for the next generation of increasingly computerised aircraft, it has said.
The European Commission's decision is conditional on Safran selling its electromechanical actuation business in North America to address competition concerns, the people said.
Safran already agreed to sell the unit in December, including its intellectual property, operations assets, staff, and customer agreements for its horizontal stabilizer trim actuation systems, to U.S. aircraft parts maker Woodward.
Actuators convert electronic instructions from the cockpit to the physical movement of parts to help control aircraft, for example by providing extra lift during landing.
The Commission, which is scheduled to finish its preliminary review on Friday, and Safran declined to comment.
(Reporting by Foo Yun Chee;Editing by Elaine Hardcastle)
