<p>BERLIN — Italian arms manufacturer Leonardo said Saturday that it is buying large stake in Germany company Hensoldt from the U.S. investment firm KKR.</p>
<p>Leonardo said it paid 606 million euros ($733 million) for 25.1% of shares in Hensoldt, which makes military electronics.</p>
<p>Hensoldt was spun out from Airbus in 2017 and purchased by KKR. The investment firm has since sold a 25.1% blocking minority to the German government, which has deemed Hensoldt’s products essential to national security.</p>
<p>Based in Taufkirchen near Munich, Hensoldt provides radar systems, sensors and cryptography for military purposes.</p>
<p>The deal still requires regulatory approval.</p>