BAE SYSTEMS (BA.) – Aerospace & Defence
| Price: £16.73 +0.5% | P/E: 23.7x |
| Market Cap: $49.6bn | Yield: 2.1% |
Defence group BAE Systems has offloaded the majority of its stake in Kazakh airline AIR ASTANA (AIRA) through the sale of nine million GDRs (global depository receipts) at a price of $5.80 each, raising $52.2 million.
The stake represented 10.1% of the airline’s capital, leaving the UK group with a further 6.9% of the shares, which are subject to a 90-day lock-up.
Our View
The sale price represents a hefty discount to yesterday’s closing price of $6.70, but Air Astana has been something of a dog since it came to market in early 2024, losing more than half its value, so no surprise BAE has pulled the trigger.
Given BAE is worth around £50 billion, $50 million is pocket change, so we wouldn’t expect the shares to react overly to the news.
Read the press release here:
https://investors.baesystems.com
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