UK engineering giant GKN is said to be at advanced stages of talks to buy the aerospace unit of Volvo.
According to a report in the UK’s Sunday Times, GKN could pay up to £800 million for Volvo Aero, which manufactures aircraft engines and components.
GKN has plants in Bristol and Cowes on the Isle of Wight. Its aerospace business, which manufactures aircraft components, is its second biggest division, with sales last year of £1.5 billion.
Part of GKN’s strategy is to expand in aerospace.