7th Mar 2014 17:34
LONDON (Alliance News) - Rolls-Royce Holdings Friday said it welcomes German carmaker Daimler's plan to sell its 50% stake in joint venture Rolls-Royce Power Holdings
Daimler said it is making use of an option to sell, which was agreed with Rolls-Royce in 2011.
The option, which is subject to a formal valuation process, was valued at GBP1.9 billion on the Rolls-Royce balance sheet at the end of last year.
Rolls-Royce said it has ample liquidity to fund this purchase from existing cash and borrowing facilities.
"Rolls-Royce Power Systems has added scale and capability to our reciprocating engines business, Chief Executive John Rishton said in a statement. "It has outstanding technology, operates in long term growth markets and has proved a valuable addition to our Marine and Industrial Power Systems division."
The stock was trading at 1,041.29 pence Friday, up 2.29 pence or 0.2%.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
Copyright © 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
Rolls-Royce