South Korea’s Hanwha Group unit has completed the purchase of US-headquartered aviation engine component maker EDAC Technologies, for around $300m.

The two companies signed an agreement for the acquisition of 100% of the shares of EDAC Technologies on 10 June. The deal closure comes after the necessary approvals from regulatory and other authorities were received.

EDAC Technologies president and CEO Ben Adams said: “Teaming with Hanwha Aerospace will allow for continued investment in our work force, process development and manufacturing capabilities.

“We are excited about the next phase of our growth story as part of Hanwha Aerospace and we look forward to collectively expanding our position in the jet engine manufacturing marketplace.”

The deal is part of Hanwha Aerospace’s vision to become the leading ‘Global Partner in Aircraft Engines’.

With this acquisition, EDAC Technologies will now operate as Hanwha Aerospace USA, representing its first aircraft engine component manufacturing facility in the US.

The transaction will also boost Hanwha’s presence in the US market.

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Hanwha Aerospace CEO Hyunwoo Shin said: “Our product portfolio will be significantly enhanced by the EDAC Technologies acquisition and we will benefit from decades of expertise in the complex processes required to manufacture static and rotating engine components in volume.

“EDAC Technologies’ geographic presence near our OEM customers and critical supply chain networks will also bring positive benefits for Hanwha Aerospace.”

In 1979, Hanwha Aerospace entered the aircraft engine business. As of last year, the company has assembled more than 8,600 gas turbine engines.