Ultra Electronics has agreed the terms of an all-cash deal from Cobham which the two aerospace and defence companies say will create a stronger combined business and protect UK national security and the country’s industrial base, reports my colleague Alan Tovey.
Backed by Ultra’s management, the £35 per share offer lists a series of “binding commitments to HM Government” aimed at easing concerns about the takeover by Cobham, which is owned by US private equity firm Advent International.
The regulatory filing says that Cobham “recognises the specific importance of Ultra’s contribution to the UK’s economy and national security” and has agreed to provide “legally binding and enforceable commitments”.
The two companies will now “engage proactively and collaboratively with HM Government to agree the detailed terms, duration, nature and form of these commitments”.
Key pledges in the commitments include “safeguarding and supporting the UK’s national security” with protection for sovereign UK capabilities, and continued supply of technology to the UK…
