German defense supplier Renk is reportedly on the verge of acquiring British gearbox manufacturer David Brown Defence, according to media reports citing industry sources.
The transaction, which has not yet been officially confirmed by either party, is valued at between €200 million and €250 million.
The deal would mark a significant expansion for Renk, a leading producer of gears and transmissions for industrial and military applications, into the specialized market for naval propulsion systems.
David Brown Defence is a key supplier to the UK Ministry of Defence, providing critical components for submarine and surface ship propulsion.
The acquisition would allow Renk to deepen its footprint in the European defense supply chain, particularly in the high-margin naval sector.
For investors, the move signals Renk’s intent to capitalize on the sustained increase in European defense spending, particularly in naval modernization programs across NATO countries.