China's Wanfeng Auto buys majority stake in Canada's Diamond Aircraft
Chinese manufacturer of automobile and aviation industry parts Wanfeng Auto Holding Group has bought 60% of the Canadian division of Diamond Aircraft, an aviation manufacturer. The investment will support a stronger focus on US and global markets, globally expanded production and improved sales and service, Diamond Canada has said. Under Wanfeng's control, Diamond Canada has acquired all rights to the DA62 and DA40 engine options from Diamond Austria and can review the future of the D-jet or a derivative.
Diamond Aircraft Industries Inc., Canada surprised much of the industry when on December 13 it sold 60 percent of the company’s shares to Wanfeng Auto Holding Group, a diverse Chinese manufacturer of parts for both the automobile and the aviation industry. An English-language news outlet in China, CRJEnglish, said the deal was closed at Diamond’s London, Ontario factory.

Diamond Canada said the investment would support globally expanded production, sales and service, with a stronger focus on the U.S. market. Wanfeng is reportedly interested in growing the aviation arm of the Asia-based company. Through this investment, Diamond Canada has acquired all rights to the DA62 and DA40 (both Lycoming and Austro engine options) from Diamond Austria. Diamond Canada also said the investment will allow the companies to review the future of the D-Jet, or a derivative.

While the sale puts Diamond Aircraft Industries Canada solidly under Wanfeng’s control, Diamond Aircraft Industries GmbH, as well as Austro Engine GmbH, remain under 100 percent control of Austria operations and independent of this transaction. Wanfeng also focuses on robotics and the financial industry.