Daimler sold 7.5% stake in European aerospace group EADS for 1.66 billion euro ($2.17 billion).
“We will invest the proceeds of the sale into the global growth of our divisions, our products and the extension of our technological leadership, ” Daimler finance chief Bodo Uebber said in a statement today.
Today, December 6th, Daimler sold 7.5% stake in EADS, or 61.1 million shares, for 1.66 billion euro ($2.17 billion), at the closing price of 27.23 euro. Daimler took the decision to sell part of the stake after Airbus, EADS’ parent company, failed to complete a multibillion-dollar merger with aerospace company BAE Systems two months ago due to political issues.
Last month the German government agreed to purchase the 7.5 equity interest in EADS from Daimler, maintaining a Franco-German balance of influence over the aerospace company. The maker of the S Class premium sedan said it is selling the stake to pursue the strategy of focusing on its core automotive business, which it has been consistently doing for several years now.
“Due to the strategic importance of EADS, the government has decided to safeguard the German-Franco balance through its investment by KfW bank group. As a result, one of the decisive factors for the success of EADS is maintained and an equivalent shareholder structure between the two sides is achieved,” stated Bodo Uebber, Member of the Board of Management of Daimler AG for Finance & Controlling and Daimler Financial Services.