Leonardo S.p.A. has reduced its stake in Avio S.p.A. from 28.75% to 19.30% while participating in a capital increase, aligning with its strategic objectives for optimized capital allocation.

Target Company Information

Leonardo S.p.A. has completed a significant capital increase concerning its shareholding in Avio S.p.A. Following this transaction, Leonardo's stake in Avio has been reduced to 19.30%, down from 28.75%. This strategic decision highlights Leonardo's commitment to aligning its financial decisions with its overall corporate strategy and capital allocation objectives. In October, Leonardo executed the sale of 2,649,031 shares of Avio at an average price of approximately €37.75 per share, mainly targeting institutional investors through an accelerated bookbuilding process.

Subsequently, Leonardo utilized its subscription rights related to its remaining shares, subscribing to an additional 3,870,207 shares of Avio at an issue price of €20.37 each. This maneuver indicates the company's proactive approach in maintaining a relevant position within the aerospace industry while adjusting its investment portfolio as needed.

Industry Overview in Italy

The aerospace and defense sector in Italy plays a pivotal role in Europe, contributing significantly to technological advancements and innovation in the region. Italy’s strategic geographical position bolsters its involvement in international defense