Thales plans to acquire Cobham Aerospace Communications for $1.1 billlion, the companies announced on Wednesday. The deal is expected to close in the first half of 2024.
Cobham is projecting revenues of $200 million this year and has operations in France, South Africa, the U.S., Canada, and Denmark. According to Thales, the combination will yield $10 million of annual pre-tax cost savings from “consolidation” and tack on $40 million in additional annual sales beyond the current combined revenues of both companies via market synergies and upselling.
Thales also said the acquisition would strengthen its avionics portfolio by adding Cobham’s line of safety cockpit communications and integrating both copmpanies' communications products to create “connected cockpits.” This spans L-band satellite communications systems (antennas and transceivers), digital audio and digital radio management, and passive antenna systems. These systems include the Cobham Aviator-S Satcom and digital audio/radio equipment that will provide future solutions to deliver real-time, cyber-secure air-to-ground services; increased operational efficiency; better pilot assistance, which is a precursor to autonomous flight solutions; and simplified OEM installations that reduce weight and drag.
Yannick Assouad, Thales executive v-p of avionics, said the deal will allow the company to “establish a game-changer in the communications and connectivity market by facilitating optimized flight trajectories in real-time, significantly reducing fuel consumption and, consequently, CO2 emissions in the next two to three years.”