4th Jun 2018 11:09
(Correcting that Roll-Royce is a jet engine and power turbine maker and not a car manufacturer.)
LONDON (Alliance News) - Rolls-Royce Holdings PLC said Monday it completed the sale of its fuel injector business, L'Orange GmbH, to US-based Woodward Inc.
Net proceeds from the sale totalled EUR673 million after transaction costs and other adjustments, the FTSE 100-listed jet engine and power turbine maker said. In announcing the agreement back in April, Rolls-Royce had said the deal gave L'Orange an enterprise value of EUR700 million.
In 2017, L'Orange, a wholly-owned subsidiary of Rolls-Royce Power Systems, reported pro forma sales of EUR244 million and pro forma underlying earnings before interest, tax, depreciation and amortisation of EUR74 million.
Through a long-term supply agreement, L'Orange will continue to provide services to Rolls-Royce Power Systems for at least 15 years.
Rolls-Royce shares were trading up 0.2% Monday morning at 838.40 pence.
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