Spain’s Indra Buys 9.5% Stake in Engine Maker ITP Aero

Indra Sistemas SA is buying a 9.5% stake in engine maker ITP Aero from Bain Capital for €175 million ($191 million), as it seeks to become a defense heavyweight in Europe.

Indra and ITP Aero also agreed to jointly develop systems and technologies, including projects that are part of the future European air combat system FCAS, of which Indra is the national coordinator in Spain. Indra will gain the right to join the board of the Zamudio, Spain-based ITP, it said in a filing.

The transaction is Chief Executive Officer José Vicente de los Mozos’s first major move since ...