Leonardo Shares Rise After U.S. Air Force Deal
September 25 2018 - 5:27AM
Dow Jones News
By Alberto Delclaux
Shares in Leonardo SpA (LDO.MI) rose Tuesday after the company
won a contract from the U.S. Air Force along with Boeing Co. (BA)
to provide helicopters for the protection of nuclear missile
bases.
The Pentagon awarded the companies an initial $376-million deal
for MH-139 aircraft to replace aging UH-1N Huey choppers, but the
full contract could be worth up to $2.4 billion for a total of 84
helicopters, training devices and support equipment. Boeing's
MH-139 is the militarized version of Leonardo's AW139 civil
helicopter.
At 0838 GMT, shares at the Italian defense-and-aerospace company
were up 3.16% at EUR10.79.
Banca IMI analyst Monica Bosio said that for Leonardo the value
of the contract could amount to $1 billion, or about 6% of the
bank's estimated order intake for the company this year.
"We view the award as highly positive from a strategic
standpoint, as it allows Leonardo to enter for the first time into
the U.S. military helicopter market," Ms. Bosio said.
Leonardo shares were last up 3% at EUR10.79.
Write to Alberto Delclaux at alberto.delclaux@dowjones.com
(END) Dow Jones Newswires
September 25, 2018 05:12 ET (09:12 GMT)
Copyright (c) 2018 Dow Jones & Company, Inc.
Leonardo (BIT:LDO)
Historical Stock Chart
From Aug 2024 to Sep 2024
Leonardo (BIT:LDO)
Historical Stock Chart
From Sep 2023 to Sep 2024