$88 Million in Cash, Subject to Conditions
Elbit Systems has signed a definitive agreement to sell all the 84.98% equity stake in Ashot Ashkelon Industries Ltd (Ashot) owned by Elbit subsidiary IMI Systems Ltd (IMI) to FIMI Opportunity Funds (FIMI) for a consideration of approximately $88 million (€75.6 million) in cash, the company announced on 21 October. The transaction is conditional on various closing terms, including receipt of certain regulatory approvals.
Ashot specialises in the manufacture of jet engine shafts, transmissions, gears and gearboxes, landing gear components and tungsten products for the aerospace and defense industries. FIMI is a leading private equity fund in Israel, with more than $5.5 billion in assets under management.
“Since the acquisition of IMI by Elbit Systems, Ashot has undergone several processes to improve its business focus and operational efficiency. This sale is consistent with our strategy to focus on our core areas of business. We look forward to continuing our cooperative work with both Ashot and FIMI,” stated Bezhalel Machlis, President and CEO of Elbit Systems.