Safran is negotiating with Thales to acquire its aeronautical electrical systems business that focuses on electric power conversion, power generation, and electric motors in the civil and military aeronautics sector.
The proposed acquisition includes Thales Avionics Electrical Systems and Thales Avionics Electrical Motors companies in France, with sites in the Paris region in Chatou, Meru, and Conflans-Sainte-Honorine. It would also include the support, maintenance, and production activities for aeronautical electrical equipment with facilities in Orlando, Florida, and Singapore. Thales's aeronautical electrical systems business employs nearly 600 people and generated revenues of $123 million in 2021.
Safran said the electrical conversion business would make a significant contribution to its expansion of electrical power generation, particularly in the defense and helicopter markets. Stéphane Cueille, CEO of Safran Electrical & Power, said, "We are delighted with the prospect of joining forces with Thales's electrical teams, which will give us even greater competencies over the electrical chain, thanks in particular to their leading skills in electrical conversion. The complementary nature of our expertise will also enable us to provide the market with ever more relevant and effective solutions."
The transaction is subject to customary regulatory approvals and is expected to take place in 2023.