GKN plc

UK engineering group GKN agreed to combine its Driveline division with US auto-engineer Dana in a deal worth $6.1bn (£4.4bn), as a defence against a takeover bid from Melrose Industries. GKN shareholders would hold 47.25% of the enlarged US-listed group.

Dana signed definitive agreements to combine with GKN plc's Driveline division into a new UK-domiciled Dana plc. GKN plc receives $1.6 billion cash, assumption of about $1.0 billion pension liabilities and 133 million new shares valued at about $3.5 billion.