(06:37 GMT) *Renk Group Agrees to Buy David Brown Defence (06:38 GMT) *Renk to Buy U.K.'s David Brown Defence (06:39 GMT) *Renk: David Brown Defence Specializes in Gearboxes for Naval, Land Defense Sectors (06:43 GMT) *Renk: Deal Gives Access to Naval Programs for Next Few Years, Long-Term Order Base (07:02 GMT) Gearbox Maker Renk to Buy U.K.'s David Brown Defence in Naval Push
By Adam Whittaker
German gearbox and propulsion specialist Renk Group said it has agreed to buy David Brown Defence in a deal that offers additional exposure to naval contracts.
David Brown Defence is a U.K. producer of high-precision gearboxes for naval and land defense vehicles. The deal gives Renk access to long-term opportunities as the U.K., Canada and Australia upgrade their navies, the company said.
The deal values David Brown Defence at $200 million to $250 million, Bloomberg reported, citing an unnamed source.
Renk said the deal is a strategically important addition to its existing naval portfolio. It also offers operational and technological synergies.
The transaction is due to complete in the fourth quarter of the year.
Write to Adam Whittaker at adam.whittaker@wsj.com