Xi'an Aircraft Industry (Group) Co Ltd, one of the largest institutions in China's aviation arena, has signed an agreement to acquire a 91.25% stake in Austria’s leading aviation supplier, FACC AG, sources reported.
The deal is expected to be closed by the end of the fourth quarter. Five percent of FACC's shares will be held by Austrian holding company ACC Kooperationen und Beteiligungen GmbH and 3.75% will be held by Stephan GmbH.
After the completion of the deal, FACC will raise shareholders' equity to no less than EUR 80 million from the current EUR 40 million via a share capital increase, in a bid to assure the company's planned business development.
Xi'an Aircraft, which has strong integrated scientific research and production expertise, is a base for developing and manufacturing large and medium-sized airplanes in China. Considered one of China's first-grade enterprises, the firm has more than 20,000 employees and has physical assets covering 3 million square meters.
