Latécoère and Bombardier have announced that the companies have entered into a definitive agreement, whereby Latécoère will acquire Bombardier´s Mexico-based electrical wiring interconnection system (EWIS) assets, the companies said.
Approximately 700 skilled employees are dedicated to the manufacture of EWIS at Bombardier´s facility in Querétaro. Under the long-term supply agreement, Latécoère will continue to supply the EWIS for all Bombardier aviation platforms, including Global, Challenger and Learjet aircraft from the current location to support Bombardier´s requirements. The annual turnover of the business is anticipated to be around USD 80 million.
Under the terms of the transaction, Latécoère will pay Bombardier a cash consideration of USD 50 million. The transaction further supports Bombardier Aviation´s transformation and sharpens the company´s focus on its core manufacturing capabilities. The employees who manufacture the main harnesses and electrical subassemblies in Querétaro will bring years of experience and value to Latécoère.
The sale will not impact the remainder of Bombardier´s operations at its Querétaro site, which will continue to produce major structures for Bombardier aircraft, such as the aft fuselage for the Global family of business aircraft — including the company´s flagship Global 7500 jet.
Latécoère is a tier 1 partner to major international aircraft manufacturers (Airbus, Embraer, Dassault, Boeing and Bombardier), in all segments of the aeronautical market (commercial, regional, corporate and military aircraft), specializing in two fields: Aerostructures (58% of total revenue): fuselage sections and doors and Interconnexion systems (42% of total revenue): onboard wiring, electrical harnesses and avionics bays.
Headquartered in Montreal, Canada, Bombardier has production and engineering sites in 28 countries as well as a broad portfolio of products and services for the business aviation, commercial aviation and rail transportation markets.