KUALA LUMPUR (Dec 4): DRB-Hicom Bhd (KL:DRBHCOM) said on Thursday that it has revised the purchase price for its proposed acquisition of the Malaysian business of aerospace manufacturer Spirit AeroSystems to US$110.62 million (RM455.5 million), from US$109.8 million previously.
The revision follows an earlier amendment to the sale and purchase agreement (SPA) in end-October involving DRB-Hicom's wholly-owned aerospace subsidiary, Composites Technology Research Malaysia Sdn Bhd (CTRM), and the sellers of Spirit AeroSystems Malaysia Sdn Bhd
Under the revised terms, if the SPA is terminated or rescinded under specific clauses — including circumstances where the US Federal Trade Commission (FTC) deems CTRM unacceptable as the purchaser — the sellers are required to refund the purchase consideration actually paid and to jointly pay the purchaser approval termination fee to CTRM, according to DRB-Hicom's filing with Bursa Malaysia.
DRB-Hicom first announced the acquisition on Aug 11, 2025, valuing Spirit AeroSystems Malaysia at RM426.1 million. Upon completion, targeted by year-end, Spirit AeroSystems Malaysia will come under CTRM.
The deal comes amid Boeing’s acquisition of Spirit AeroSystems in the US and a parallel arrangement for Airbus to assume ownership of select Spirit assets tied to its programmes.
DRB-Hicom noted that failure to secure approvals from the European Commission or the US FTC — or if authorities oppose CTRM’s purchase — would trigger a US$7 million termination fee payable by the sellers.
Spirit Malaysia is a key supplier of components and assemblies for major Airbus and Boeing programmes, including the A220, A320, A321, A350, B737 and B787. Its Subang facility within the Malaysia International Aerospace Centre also serves as Spirit AeroSystems’ Southeast Asia hub. The company posted a profit after tax of RM70.1 million on revenue exceeding RM1 billion in 2024.
CTRM, meanwhile, manufactures composite aerostructures such as wing components for the A320, A350 and A380, nacelles for the A350, and various components for the A400M, B737, B787, B767 and B777 aircraft.
Shares of DRB-Hicom settled two sen or 1.92% higher at RM1.06 on Thursday, valuing the group at RM2.05 billion. Year to date, its share price has slipped more than 5%.