Create a free Manufacturing.net account to continue

Czech Plane Maker To Buy Romanian Factory

AERO Vodochody has won a Romanian government bid to take over factory Avioane Craiova for $6.5 million, with a pledge to invest another $14.1 million during the first five years.

BUCHAREST, Romania (AP) -- Czech aircraft maker AERO Vodochody has won a Romanian government bid to take over factory Avioane Craiova, the government body in charge of state assets said Wednesday in a press release.

AERO Vodochody offered euro4.1 million (US$ 6.5 million) for an 81 percent stake in the Romanian company, with a pledge to invest another euro8.9 million (US$14.1 million) during the first five years.

AERO Vodochody -- the world's biggest producer of jet training aircraft -- competed for Avioane Craiova against Italian Alenia Aeronautica and Romanian INAV.

Avioane Craiova is the only Romanian producer of army aircraft, and also makes equipment for civilian aviation.

More in Operations