Leonardo to boost defence electronics business with 1 bln euro spending

Leonardo emblem is noticed during celebrations for the 500th Eurofighter Hurricane created by the European consortium at Caselle airport in Turin, Italy, April 11, 2017. REUTERS/Stefano Rellandini

MILAN, March 14 (Reuters) – Leonardo (LDOF.MI) strategies to make investments 1 billion euros ($1.10 billion) in Italy in excess of 5 several years to acquire new merchandise, modernize its factories and reinforce its offer chain in the defence electronics, the group said on Monday.

The Italian group aims to grow to be the leader in defence electronics in Europe and has recently bought a stake in Germany’s Hensoldt (HAGG.DE) to shift in this course, Leonardo’s CEO not too long ago explained.

The group’s electronics division currently employs 13,000 personnel, of which 8,500 are in Italy. The division designs, develops, provides and supports radar methods, state-of-the-art sensor engineering and safety and defence units for aviation, area, land-dependent and naval platforms.

“The plan will see Leonardo devote 200 million euros in Italian field each individual year, plus an extra 50 million euros will be employed to optimise Leonardo’s web pages in Italy in just about every of the first 3 yrs of the prepare,” the group stated in a statement.

In parallel, the Italian team will also make investments 300 million euros in excess of 3 years in its electronics business in Britain.

The corporation will make a new centralised logistics hub in Pomezia, in close proximity to Rome, which will help sizeable improvements in operational general performance, efficiency and good quality assurance.

($1 = .9115 euros)

Reporting by Francesca Landini Editing by Tim Ahmann

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