Germany’s Daimler disposes of shares in defence group EADS worth €1.7bn

EADS

German carmaker Daimler AG (FRA:DAI) said on Thursday it had completed the sale of 7.5% in European aerospace and defence group EADS NV (EPA:EAD) for EUR1.66bn (USD2.2bn) to investors.

The carmaker, which seeks to focus on cars and trucks, announced the plan to sell the 61.1m EADS shares on Wednesday, saying that the buyers included German state’s development bank KfW, private Dedalus investors and institutional investors.

The accelerated book building, run by Goldman Sachs Group Inc (NYSE:GS) and Morgan Stanley (NYSE:MS), was oversubscribed multiple times, Daimler said today. The stock was sold at EUR27.23 a piece.

The move is in line with a restructuring of ownership at EADS. Daimler’s CFO Bodo Uebber said in a statement that the funds raised through the disposal of the EADS stake will be used to finance the group’s global growth.

The carmaker plans to shed more of its remaining 7.5% in EADS after an agreed lock-up period of 180 days, it said.

JPMorgan Chase & Co (NYSE:JPM) acted as advisor to Daimler.

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