Safran will offer sales of North American units to win the EU in Collins’ deals, sources say

By foo yun cheese

BRUSSELS (Reuters) – French engine and aircraft equipment maker Saffron has offered the sale of its North American business agreed in December as a bailout to address EU concerns over a $1.8 billion bid for Collins Aerospace flight management business.

Safran submitted his offer to the European Commission last Friday. This asked for feedback from rivals and customers before deciding whether to accept the proposal, request more concessions, or start a four-month investigation.

The EU Antitrust Watchdog asked if there were any suitable buyers for Safran’s electromechanical actuation business in North America, the person said.

Safran has already agreed to sell the unit in December, including its intellectual property, assets under management, staff and customer contracts for horizontal stabilizer trim operating systems with US aircraft parts manufacturer Woodward. The committee’s survey did not mention Woodward, the person said.

Actuators help to control the aircraft by converting electronic instructions from the cockpit to physical movement of the parts. For example, it provides additional lifts during landing.

When asked for comment, Saffron mentioned the December 20th announcement of the agreement with Woodward. He said at the time he was hoping the deal would close mid-2025.

Respondents have been given until Thursday to comment on the offer. Collins is Saffron’s biggest deal since it acquired seat maker Zodiac in 2018.

(Reporting by Foo Yun Chee, Editing by Elaine Hardcastle)