Daimler Sells Final EADS Stake

Daimler AG is divesting its remaining 61.1 million shares of European Aeronautic, Defence & Space Co. for as much as €2.3 billion, thus ending its 13-year connection to the Airbus maker.

Final pricing of the deal is set for Wednesday. Daimler says it will invest the proceeds in its automotive business, including the development of new technology.

The company had held a 15% equity stake in EADS since it helped found the company in 2000. Daimler sold a 7.5% stake in December for €1.7 billion as part of a restructuring of French aerospace company's ownership.

The automaker received a waiver from a rule that barred it from divesting the balance of its EADS stock for six months, thus enabling the immediate sale.

Daimler disclosed last month it would book a €2.7 billion one-time gain on the transaction in the second quarter of this year. The gain is related to the 60% jump in the price of EADS stock over the last six months.