Saab makes €30m bid for HITT

Sweden’s Saab is launching a cash offer for Dutch airport technology company HITT for 6.60 euros per share as it seeks to strengthen its offering in traffic management.

The offer values HITT at around €30 million representing a 38 per cent premium over HITT’s closing price on Wednesday.

HITT’s management unanimously support the offer and is urging its shareholders to tender their shares. HITT’s board and four shareholders holding 73.6 per cent of the shares support the offer.

Saab President and CEO Håkan Buskhe said, “This acquisition is in line with our overall strategy to strengthen Saab’s position on the global traffic management market. Our existing offering will be even more attractive when complemented with HITT’s offering in air traffic management and maritime surveillance and safety. It also provides us with a solid market position globally and especially in high growth markets such as China and India.”

HITT develops and distributes solutions for aviation, such as precision navigation, ground movement control and airside operations management. HITT has 188 employees, based in the Netherlands, North America and Hong Kong.

Following the acquisition, Saab intends to integrate HITT into its Security & Traffic Management business. Both companies expect the existing level of employment within the combined company will not be adversely changed, except where the combination of the businesses of Saab and HITT has some limited overlap.

Saab said the acquisition will have a marginal negative impact on its earnings per share in 2012 and 2013 and is expected to contribute positively thereafter.

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