Bain Capital, the fund that bought the Biscayan company ITP Aero from Rolls-Royceguaranteed yesterday Wednesday the maintaining employment and the headquarters in Biscay of the aeronautical company after the Spanish government authorized the sale of the company for around 1,700 million euros. Similarly, Rolls-Royce indicated that ITP Aero will continue to be “a key supplier and strategic partner in defense and civil aerospace programs”.
It’s a statement, the company has confirmed that it expects the transaction to close in the coming weeks after obtaining the authorization of the Council of Ministers, an essential step because it was a strategic undertaking. Rolls-Royce has reached an agreement to sell ITP Aero, based in Zamudio, to the consortium led by Bain Capital, and also composed of Sapa Placencia and JB Capital, on September 27 and was waiting to receive the corresponding authorizations. According to the British multinational, this operation completes its divestment program and that the few 1,700 million which will enter “will be used to rebuild Rolls-Royce’s balance sheet and relaunch the ambition to regain, in the medium term, the investment grade credit rating”.
“We would like to express our sincerethank you for the constructive work of all parties involved in this process, especially the Spanish and Basque governments. The sale of ITP Aero will complement our divestment program and is a very attractive outcome for all parties,” said Rolls-Royce CEO Warren East. “A financially, technologically and industrially sound ITP Aero is vital for Rolls-Royce as the business will remain a key strategic supplier to us and our defense and civil aerospace programs for decades to come,” he stressed. . “It’s also a great opportunity for ITP Aero and its team. Bain Capital has shown its full willingness to support and invest in the future of the company and to build on its successes. We look forward to working closely with ITP Aero in the future,” added East.
For its part, Bain capital posted yesterday, Wednesday, its satisfaction with the decision of the Council of Ministers to authorize its investment in ITP Aero. Likewise, the purchase fund reiterated its commitment to “a robust industrial project, which has enabled the ITP Aero group to become a leader in the aeronautics and defense sector both at European and global level”. Similarly, Bain Capital offered guarantees “of location, continued employment and head office, exemption from non-EU export controls, compliance with contracts and proper handling of sensitive information.” .
Authorization from the Spanish government includes a reserve of up to 7.5% of the shares for the formation of a consortium of companies and industrial institutions, among which the participation of the Basque Government is expected. In this regard, Lakua reiterated on Tuesday, after learning of the authorization, that he would continue to work on his initial objective of being in the capital and being represented on the company’s board of directors. To do this, he maintains his commitment to reach a “good agreement” of shareholders in which he feels “at ease”.
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After the clearance, Ivano Sessa, Managing Director of Bain Capital, emphasized that they are “fully committed to supporting the stability and long-term growth of ITP Aero, as well as its crucial role in the Basque Country and Spain” . “Our business plan is deeply aligned with the management team and employees of ITP Aero, as well as with the government. This is based on the enhancement of the technological and industrial capacities of the company as a leading independent aeronautical company. We are now focused on completing the transaction,” added Tobias Weidner, also a director.
From ITP, Carlos Alzola, its managing director, expressed his enthusiasm for the association with the consortium led by Bain Capital, “which has expressed a deep commitment to the Basque Country”, as well as with the team of the company Biscay and with its continued growth, and expressed its gratitude to all ITP Aero employees for their support during the period of the sales process.