General Dynamics Buys Jet Aviation
Gulfstream Aerospace parent company General Dynamics is expanding its stake in the business aviation industry with the purchase of Swiss-based Jet Aviation. General Dynamics paid $2.3 billion USD for the rapidly expanding service, repair and charter company. "Through General Dynamics' acquisition of this strong and rapidly growing organization, we will expand our participation in the business-aviation industry well beyond that of our current operations," company Chairman Nicholas Chabraja said in a statement.
Jet Aviation has facilities at 25 airports in Asia, Europe, the Middle East and the Americas. It's been on a growth spurt recently and Gulfstream jets make up a significant portion of its fleet of mid- and large-size bizjets. Jet Aviation was privately held by Permira Funds. Gulfstream is a relatively small component of General Dynamics, which is a major defense contractor, but its recent growth has clearly caught corner-office attention. Gulfstream's backlog has more than doubled in the last year to $18 billion.