U.S. corporation Textron Inc. sells TRU Simulation Inc. + Training Inc. to CAE Inc. for a total of $40 million in the transaction
Textron Inc. Sells Subsidiary TRU Simulation + Training to CAE Inc.
On January 25, 2021, Textron Inc., a multi-industry company, sold its subsidiary TRU Simulation + Training Inc. to CAE Inc., a Canadian high technology company specializing in digital immersion. This strategic acquisition allows CAE to expand its portfolio and market presence in the simulation training industry.
The sale, which was advised by Hoskin & Harcourt LLP, included certain non-U.S. businesses owned by Textron Inc., such as the Montreal manufacturing operations, ETOPS entities in France and Malaysia, and a minority interest in a joint venture in Iceland. CAE Inc. acquired the Montreal manufacturing operations as part of the deal.
TRU Simulation + Training, known for supplying flight simulators and training devices, focuses on commercial aviation simulation. This acquisition aligns well with CAE’s existing offerings in civil aviation and defense simulation training, enabling CAE to enhance its customer base, broaden its product and service offerings, and increase its competitiveness in key markets.
CAE's strategy behind this transaction is to strengthen its position as a global leader in simulation and training. By acquiring TRU, CAE aims to solidify its position in the aerospace training industry, which covers pilot training, crew sourcing, and operation support solutions, provided globally through CAE's Civil Aviation and Defense and Security segments.
Although specific financial details and the entire context of the sale are not fully detailed, the acquisition is seen as part of CAE's broader growth and consolidation strategy in the aerospace training industry.
Textron Inc., with its global network of aircraft, defense, industrial, and finance businesses, continues to provide customers with innovative solutions and services. The company's U.S. businesses were not involved in this sale.
The Hoskin & Harcourt LLP team, consisting of Niko Veilleux, Sophie Amyot, Jean-Philippe Bertrand, Jordana Corber-Tovel, Michelle Lally, Danielle Chu, Alain Fournier, and David Wilson, advised Textron Inc. on the sale, corporate matters, competition/antitrust & foreign investment matters, and taxation matters related to the transaction.
[1] CAE to Acquire TRU Simulation + Training from Textron Inc. [2] Textron Inc. Announces Completion of Sale of TRU Simulation + Training Inc. [3] CAE to Acquire TRU Simulation + Training Inc. for US$40 Million
- The strategic acquisition of TRU Simulation + Training Inc. by CAE Inc. will allow CAE to broaden its business in the simulation training industry within the finance and industry sectors.
- With the acquisition of TRU Simulation + Training Inc., CAE Inc. aims to increase its competitiveness in the simulation and training field, particularly in the business sector that covers both civil aviation and defense simulations.
