Gates Corp. will sell its interest in Gates Learjet.

The company reported that it has entered into an agreement granting M. J. Rosenthal & Associates, a New York investment firm, an option to acquire Gates’ 64.8% holding in Gates Learjet Corp. The option price involves a consideration of $8 a share, composed of $6 cash and $2 in 8% preferred stock of the acquiring company, for the 7,840,585 shares of Learjet stock held by Gates. The transaction is valued at about about $62.7 million. Denver-based Gates acquired Learjet from William Lear in 1967.