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BRUSSELS (Reuters) - French aero engine maker Safran SAF.PA is set to secure an EU green light for its $7.7 billion bid for aircraft seat maker Zodiac Aerospace ZODC.PA to create the world's third-largest aerospace supplier, a person familiar with the matter said on Friday.

Safran has said the deal would boost its position in making smarter and more connected aircraft, targeting planemakers such as Airbus AIR.PA and Boeing BA.N.

The merged entity would compete with U.S companies United Technologies UTX.N and General Electric GE.N.

The European Commission, which is scheduled to rule on the deal by Dec. 21, declined to comment. Safran also declined to comment.

The proposed takeover is one of several deals in the aerospace industry which includes United Technologies Corp's $23 billion plan to buy avionics maker Rockwell Collins Inc COL.N.

The Safran, Zodiac tie-up has already been given the regulatory go-ahead in Canada, Kenya, Mexico, Russia, South Africa, Turkey, the United States and pre-authorized in South Korea. Authorities in China and Brazil are also expected to clear the deal.