GE Drops $4.3B To Buy Avio's Aviation Business From Cinven

Law360, New York (December 21, 2012, 3:28 PM EST) -- General Electric Co. has agreed to buy the aviation business of Italian aerospace services company Avio SpA from its private equity backer, U.K.-based Cinven, for roughly €3.3 billion (US$4.3 billion), GE announced Friday.

The Connecticut-based global company will acquire Avio's aviation business from Cinven, which has owned Avio since 2006, and Italian government-backed aerospace conglomerate Finmeccanica SpA. Avio currently provides GE's aerospace unit, GE Aviation, with aircraft components.

The $4.3 billion purchase price is roughly eight and half times Avio's estimated 2012 earnings before interest, taxes,...
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