Finnish engineering company Valmet to acquire valve maker Neles

HELSINKI, July 2 (Reuters) - Finnish engineering company Valmet will take full ownership of valve maker Neles in an all-share deal, it said on Friday, acquiring the 70% of the business it does not already own.

The deal, which requires regulatory and shareholder approval, will see Valmet give 0.3277 shares in the combined company for each Neles share held.

The combined company will have an estimated revenue of 4.3 billion euros ($5.1 billion) and 17,000 employees, the companies said in a statement.

The two companies’ combined market value was 7.43 billion euros before the market opened on Friday, with Neles accounting for 1.84 million euros.

Valmet begun to increase its ownership in Neles in 2020 after a bid by Sweden’s Alfa Laval, which dropped its bid late in the year failing to secure shareholder approval.

$1 = 0.8448 euros Reporting by Essi Lehto Editing by David Goodman