Spain's Indra may bid for majority stake in Rolls-Royce's ITP Aero

Spanish information technologies outfit Indra has expressed an interest in acquiring a majority stake in ITP Aero from Rolls Royce.

Rolls Royce confirmed earlier press speculation in that regard on Friday, adding that the preliminary indication of interest was subject to a number of conditions and that there was no certainty that it would result in a transaction.

The British engineer and aerospace firm also said it intended to retain a long-term relationship with the business across its Civil Aerospace and Defence programmes.

Spanish website La Informacion broke the news overnight, referencing a deal size of €1.36bn, the price at which Rolls bought the unit from Basque engineering group Sener in 2016, as a possible benchmark for the transaction.

ITP Aero manufactures components for various jet engine types, including the Eurofighter´s EJ 200, Boeing's F-18 Super Hornet's F414, and Airbus A400 and participates in multiple civil aviation ventures.

Also according to La Informacion, the related due diligence process is nearly complete.

Goldman Sachs is acting as advisor to Rolls Royce.

-- More to follow --