Sponsored by TCI International Inc.
21 Sep 22. MilDef successfully completes the acquisition of Handheld Group and resolves on an issue in kind.
The previously announced acquisition of Handheld Group AB has today been completed within the planned timeframe. Work is now underway to realize identified positive synergies.
“Thanks to Handheld, MilDef has doubled its geographic footprint, significantly strengthened its technology portfolio and generated revenue streams in new and growing market segments for total defense.” says Björn Karlsson, CEO MilDef Group. “If you are looking for an apt description of what we are now achieving, it is accelerated expansion.” he concludes.
The Board in MilDef has also, on the basis of the authorisation from the Annual General Meeting on 12 May 2022, resolved on an issue in kind, which forms part of the purchase price for the acquisition of Handheld as was communicated when the acquisition was announced on 12 September 2022. The initial purchase price for Handheld amounts to 350 MSEK, of which 270 MSEK is paid in cash and 80 MSEK in new MilDef shares. For more information see the press release published on 12 September 2022.
The issue in kind in brief
The issue in kind entails issuance of 1,126,443 new shares in MilDef Group AB. The subscription price for the new shares corresponds to the volume-weighted average price for the MilDef’s share on Nasdaq Stockholm for the ten days prior to the date when the agreements for the acquisition were entered into, i.e. 71.02 SEK per share. The new shares have been subscribed for by the sellers of Handheld who have paid for the new shares by transferring to MilDef shares in Handheld at an agreed value of 80 MSEK. Thereby, the number of shares and votes will increase from 38,733,123 to 39,859,566. The share capital of the company will increase with 281,610.75 SEK from 9,683,280.75 SEK to 9,964,891.50 SEK.
16 Sep 22. Spain allows Amber to lift stake in Indra to 9.99%, shares rise. The Spanish government has allowed activist fund Amber Capital to raise its stake in Indra (IDR.MC) to 9.99%, the defence company said on Friday. According to data from Refinitiv, Amber Capital holds 4.2% of Indra and would become its second-biggest shareholder after state holding company SEPI, which earlier this year increased its stake to 25.2% from 18.75%. Shares in Indra were up 2.25% on Friday, leading gains in Spanish blue-chip index Ibex-35 (.IBEX), which was down 1.03%.
Advertisement · Scroll to continue
Indra still has to replace seven independent board members that were ousted or quit in June after shareholders unexpectedly agreed to give the government more control. read more
The company on Friday said the selection process for the directors was already at a very advanced stage and nearing completion. The appointments committee is expected to meet on Monday, Indra added.
The government’s bigger role in the company comes ahead of the rollout of a jet fighter programme, and as Spain looks to increase defence spending in the wake of Russia’s invasion of Ukraine.
The government on Tuesday authorised the joint foreign investment of Amber Capital UK and Amber Capital Italia SGR in Indra “up to a joint participation in shares, or other financial instruments with shares as underlying value, representing 9.99% of its share capital,” Amber said in a letter. At current market prices, the 10% stake in Indra has a value of around 140m euros ($139.69m). (Source: Reuters)
Sep 22. China plans sanctions on CEOs of Boeing Defense, Raytheon over Taiwan sales. China will impose sanctions on the chief executives of Boeing Defense and Raytheon over their involvement in Washington’s latest arms sales to Taiwan, a foreign ministry spokesperson said on Friday.
The sanctions on Boeing Defense, Space, and Security CEO Ted Colbert and Raytheon Technologies Corp (RTX.N) boss Gregory Hayes are in response to the U.S. State Department approval on Sept. 2 of the sale of military equipment to Taiwan.
Those sales include 60 anti-ship missiles and 100 air-to-air missiles, of which the respective principal contractors are Boeing Defense, a division of Boeing Co (BA.N), and Raytheon.
Colbert and Hayes will be sanctioned “in order to protect China’s sovereignty and security interests” said foreign ministry spokesperson Mao Ning citing “their involvement in these arms sales.”
Mao did not elaborate on what the sanctions would entail or on how they would be enforced. Neither company sells defense products to China, but both have robust commercial aviation businesses there.
U.S. defense procurement rules generally prohibit Chinese-origin content, so sanctions have had no impact on the U.S. military.
“The Chinese side once again urges the U.S. government and relevant entities to… stop selling arms to Taiwan and U.S.-Taiwan military contacts.”
The Pentagon announced the package in the wake of China’s aggressive military drills around Taiwan following a visit last month by U.S. House of Representatives Speaker Nancy Pelosi, the highest-ranking U.S. official to travel to Taipei in years.
to comment. Boeing declined to comment immediately, but on Thursday said it plans to remarket some airplanes that it had earmarked for Chinese airlines as geopolitical tensions have delayed deliveries.
In December 2021, China approved the return of Boeing’s 737 MAX to service after it had been grounded following two accidents involving the airliner that killed 346 people.
Despite the approval, Chinese airlines have not resumed flying the MAX and have not accepted deliveries of new MAX aircraft. The U.S. government has previously accused the Chinese government of blocking tens of bns of dollars of MAX deliveries to China.
Before the MAX was grounded, Boeing was selling a quarter of the planes it built annually to Chinese buyers, its largest customers.
Raytheon sells to China through its United Technologies engine business.
Friday’s announcement marks the first time Beijing identified and imposed sanctions against individuals from these companies.
Beijing considers the self-ruled island of Taiwan a wayward province it has vowed to bring under control, by force if necessary.
Taiwan rejects China’s sovereignty claims, saying only its people can decide their future, and vows to defend itself if attacked. (Source: Reuters)
TCI International, Inc., is a wholly-owned subsidiary of SPX Corporation. TCI provides turn-key solutions for spectrum management and monitoring, direction finding, geolocation and communications intelligence to civilian, government, military and intelligence agencies as well as antennas for communications and high-power radio broadcasting. TCI is headquartered in Fremont, California, USA. For more information, visit www.tcibr.com.