By Robert Wall 

LONDON--French aerospace supplier Safran SA said Thursday it had agreed to buy Zodiac Aerospace in a deal that values the beleaguered French plane cabin interiors specialist at EUR8.5 billion ($9 billion).

The two companies said Safran would create the world's No. 3 aerospace supplier with a combined EUR21 billion in shares.

Safran would pay EUR29.47 a Zodiac Share. Investors would receive 0.485 Safran shares for each Zodiac share excluding a EUR5.5 a share special dividend to be paid before closing. Zodiac shares closed Wednesday at EUR23.31.

Both boards back the deal that still requires shareholder approval and that from regulators.

(END) Dow Jones Newswires

January 19, 2017 01:44 ET (06:44 GMT)