Benzinga | Jan 12, 2022 01:57PM EST

Aernnova Acquires Embraer Industrial Plants In vora, Portugal

* Embraer SA (NYSE:ERJ) has agreed on the sale of Embraer Met?licas and Embraer Comp?sitos industrial units in the Aeronautical Industry Park of ?vora, Portugal, to Aernnova, an international reference company in the supply of aerostructures.

* The transaction contemplates the sale of shares of Embraer's wholly-owned subsidiaries in Portugal to Aernnova for the reference price of $172 million, subject to adjustments.

* With 37,100 and 31,800-square meters, respectively, and employing around 500 people, these facilities combine the advanced technologies in metallic and composite airframe construction with a high-level digitalization and automation of plant production processes. Among other activities, both factories produce parts for wings, vertical and horizontal stabilizers.

* In addition, Aernnova signed a supply agreement regarding current production packages for Embraer aircraft. ?vora facilities activity will add around $170 million to Aernnova's revenue.

* The closing of the transaction is expected in the first quarter of 2022.

* Price Action: ERJ shares are trading higher by 0.48% at $16.85 on the last check Wednesday.