Baykar, Piaggio Aerospace sign preliminary agreement for business complex transfer

Italian aviation firm Piaggio Aerospace has signed a preliminary agreement with Türkiye-based defense and aerospace company Baykar for the transfer of its business complexes, according to a statement from Piaggio Aerospace.

The agreement, approved by Italy’s Ministry of Enterprises and Made in Italy on Dec. 27, 2024, was signed by senior officials from both companies. The transfer is expected to be finalized in spring, pending conditions such as approval from the Italian prime minister’s office.

Baykar plans to present a revitalization strategy for Piaggio Aerospace’s business complexes in an upcoming consultation meeting with union representatives.

Baykar strengthens position in European aviation market

This acquisition signals Baykar‘s ambitions to expand beyond its renowned unmanned aerial vehicle (UAV) systems into manned aviation, jet engine production, and civilian aerospace markets.

Piaggio Aerospace, an Italian company with a 140-year history, is known for its advanced military and civilian aircraft, including the P180 Avanti business jet and HammerHead UAV.

By integrating Piaggio Aerospace‘s engineering expertise, Baykar aims to diversify its product offerings and establish a stronger foothold in European defense and aerospace markets.

Strategic benefits of acquisition

With production facilities in Italy, Baykar could overcome procurement hesitations within NATO and EU member states regarding Turkish-manufactured defense products.

European nations may prefer sourcing defense products from within EU borders, offering Baykar potential access to new markets.

Italy’s Leonardo, Türkiye’s Baykar discuss cooperation

One of Italy’s biggest defense manufacturer companies Leonardo and Türkiye’s Baykar are in discussions for a potential defense industry partnership, Leonardo CEO Roberto Cingolani revealed during a recent interview.

Speaking about his visit to Baykar’s Ozdemir Bayraktar National Technology Center in Istanbul, Cingolani said: “We have been meeting with our colleagues at Baykar for several months. Last week’s visit was very interesting because we engaged in more technical discussions and are looking seriously and operationally into the possibility of developing products and technologies together.”

Leonardo, a global player in aerospace, defense, and security technologies, is partially owned by the Italian government, holding a 30.2% stake. The company, originally established in 1948 as Finmeccanica, rebranded in 2017 to enhance its global identity.