18th Jun 2019 10:49
(Alliance News) - Rolls-Royce Holdings PLC said Tuesday it has agreed to buy the electric aerospace engines business of German engineer Siemens AG for an undisclosed amount.
The deal - expected to close in late 2019 - will help to accelerate the electrification strategy of the FTSE 100-listed engine maker.
The eAircraft unit of Siemens is already known to Rolls-Royce through its E-Fan X demonstrator project, which when flying will show hybrid electric propulsion can power regional aircraft.
"To support the rising demand for air travel while achieving CO2 emissions targets, the aviation industry is developing increasingly environmentally friendly technologies and practices," Rolls-Royce Chief Technology Officer Paul Stein said.
"The electrification of flight is just one part of Rolls-Royce's commitment to making aviation more sustainable: we are continuing to increase the fuel efficiency of our gas turbines; encouraging the development of environmentally friendly and sustainable aviation fuels; and pursuing the electrification of aviation," Stein added.
Rolls-Royce Electrical Director Rob Watson added: "We have already made significant strides in realising our strategy of 'championing electrification' and this move will accelerate our ambitions in aerospace by adding vital skills and technology to our portfolio. It brings us increased scale and additional expertise as we develop a product range of hybrid power and propulsion systems."
Shares in Rolls-Royce were 0.9% higher at 915.20 pence in London on Tuesday.