Embraer plans to sell two aircraft parts factories in Evora, Portugal. (Embraer)
Brazilian aerospace and defence company Embraer has agreed to sell two airframe factories in Evora, Portugal, to Spain-based aerostructures manufacturer Aernnova for USD172 million, saying the divestiture will allow the facilities to diversify their customer base, attract more business, and boost their utilisation levels.
“This agreement is an important step towards [Embraer's] footprint optimisation strategic initiative, which aims to [make] better use of our assets and improve the company's profitability,” Embraer president and CEO Francisco Gomes Neto said on 12 January.
The plants, which have a total area of 68,900 sq ft (6,401 m2) and about 500 employees, are exclusively dedicated to Embraer programmes. They produce parts for wings and horizontal and vertical stabilisers for several types of Embraer aircraft, including business and commercial jets and the KC-390 Millennium military transport plane.
Under Aernnova's ownership, the Evora factories will continue making parts for Embraer aircraft while gaining the freedom to pursue work from other aircraft manufacturers. The deal is expected to close in the current quarter and add about USD170 million to Aernnova's annual revenue, according to Embraer.
Aernnova has about 4,600 employees at 14 locations in six countries, including a former GE Aviation facility in Hamble, United Kingdom, that makes cockpit windscreen and canopy systems for the BAE Systems Hawk and Boeing T-45 Goshawk trainer aircraft. The Embraer “deal is another step forward in Aernnova's growth strategy”, Aernnova CEO Ricardo Chocarro said.