Renk poised to seal naval vessel gearbox maker deal

A UK naval supplier is set to be bought by a German defence operator.

Renk Group has agreed a takeover deal for David Brown Defence.

Reports suggest the move values the Huddersfield-based vessel gearbox and machinery maker at between £150 million and £187 million.

Renk will buy the group from parent firm David Brown Santasalo, which is owned by US private equity firm Stellex Capital Management.

The deal for the business – which is also known for making military tank gear systems – is expected to complete later this year.

A Renk statement said: “The acquisition represents an important addition to Renk’s existing portfolio in the naval sector.

“Renk is gaining access to high-value naval programmes of the next few years and a long-term base of orders across the main naval programmes in the UK, Canada and Australia, including aftermarket business opportunities.”

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