Indra buys 9.5% of ITP Aero from Bain for 175 million to strengthen the aerospace and defense sector in Spain

It will be represented on the board of directors of the Basque company

Indra has reached an agreement with Bain Capital Private Equity for the entry into the share capital of the Basque aircraft engine company ITP Aero through the acquisition of an indirect 9.5% stake for an amount of 175 million euros, which It will be executed in the coming weeks, as reported to the National Securities Market Commission (CNMV).

Specifically, the company chaired by Marc Murtra, in which the Sociedad Estatal de Participaciones Industriales (SEPI) owns 28% of its capital, will have the usual rights for a minority stake of this size, including representation on the board of ITP Aero administration.

Furthermore, Indra and ITP Aero have reached a framework agreement establishing the bases for a strategic technological collaboration with the aim of enhancing its value, taking advantage of synergies and promoting the joint development of systems and technologies, including developments resulting from cooperation in the Future Combat Air System (FCAS) program.

With this operation, the US fund Bain Capital promotes the growth of ITP Aero and advances its presence in international markets and, together with the participation of the Basque Institute of Finance (IVF) dependent on the Basque Government, shapes the consortium of industrial companies and Spanish institutions provided for in the agreement of the Council of Ministers that authorized the acquisition of ITP Aero by Bain Capital.

The incorporations of Indra and the IVF comply with the obligations with the Spanish and Basque Government in terms of governance, location in the Basque Country and maintenance of employment, strengthening its industrial capacity, technological capacity and RD.

For Indra's president, Marc Murtra, this operation gives both companies "greater strength, expands their technological capabilities and their opportunities to compete with large companies in the aerospace and defense markets."

For his part, Indra's CEO, José Vicente de los Mozos, stressed that the company will continue to promote collaboration and cooperation with other companies, "as has already been done with ITP Aero, Navantia or Tecnobit, to build a strong industrial ecosystem that can assume the relevant role that corresponds to Spain in Europe and on a global scale".

The general director of ITP Aero, Carlos Arzola, has assured, for his part, that with the incorporation of Indra to the shareholding and the technological collaboration framework agreement, "the Basque company continues its path of growth, motivated by the recovery of aviation civil, as well as the strong demand in the defense business".

For his part, the head of Bain Capital, Ivano Sessa, welcomed Indra as a shareholder of ITP Aero and highlighted that the Basque company "has had a successful journey of growth and internationalization" since it acquired it from the bottom up.

Indra is already collaborating with ITP Aero in the FCAS program, which develops the future European air combat system, of which the company chaired by Murtra is the "national industrial leader" and in international terms is the pillar of sensors. For its part, ITP Aero is the national leader in the engine of the new generation combat aircraft (NGF).

Indra and ITP Aero have recently been awarded a contract valued at 40 million euros to provide a comprehensive support service for the engineering and maintenance of the weapons systems of the Air Force and Space Force aircraft.