Long-serving General Aviation aircraft piston engine manufacturer Teledyne Continental Motors has been sold to China's state-owned AVIC International Holding Corporation.
Under an agreement announced in mid-December 2010 and due to be finalised in first quarter of this year, parent company Teledyne Technologies will offload Teledyne Continental Motors (TCM) to AVIC subsidiary Technify Motor for US$186 million.
Alabama-headquartered Continental Motors is one of the largest manufacturers of FAA-certified piston engines, as well as spare parts and components, used in GA aircraft in the world today.
AVIC has established partnerships with a number of major global aviation companies, and with Teledyne Technologies increasingly moving its core business focus away from aerospace manufacturing, AVIC is seen to be a better fit for TCM.
AVIC says it was attracted to Continental Motors’ 81-year history in the GA market and its reputation for product quality, safety and service. AVIC plans continued investment and upgrades to TCM operations and increased R&D.
“AVIC International will greatly strengthen Continental Motors’ market access,” TCM President Rhett Ross said. “In addition, increased investment will accelerate new products, such as Continental Motors’ TD-300 diesel engine.”
“The sale is the right long-term solution for Continental Motors,” Teledyne Technologies CEO Robert Mehrabian added. “This sale allows Teledyne to focus on its core businesses, while ensuring a bright future for Continental Motors.”
(John Absolon)
