Safran proposes sale to gain EU approval for acquisition

Safran, a French company that makes engines and aircraft equipment, has proposed selling a North American business. This sale is part of an effort to gain approval from the European Union for its $1.8 billion acquisition of Collins Aerospace's flight controls unit. Safran submitted its sale offer to the EU last Friday. The European Commission is currently gathering feedback from competitors and customers. The Commission will decide whether to accept Safran's offer, request further concessions, or launch a four-month investigation. The North American business in question is Safran's electromechanical actuation unit, which they had already agreed to sell to the U.S. company Woodward in December. This sale includes all its operations and intellectual property. Actuators play a crucial role in aircraft control by translating cockpit instructions into movements of aircraft parts. In its comments, Safran referred to its previous announcement about the Woodward deal, which it expects to complete by mid-2025. Feedback on Safran's proposal is due by Thursday. This acquisition would be Safran's largest since it bought the seat maker Zodiac in 2018.