Meggitt buys IP-laden valves business PECC for $44m

Aerospace engineer Meggitt has strengthened its industrial valve offering with the $44m cash acquisition of California-based Precision Engine Controls Corporation, which serves the oil and gas and power generation industries.

PECC, which was bought from owner United Technologies Corporation from existing resources, supplies of actuation systems and fuel metering valves to manufacturers of small-frame gas turbines.

Meggitt said PECC's products, which are covered by a "substantial" level of intellectual property, were complementary to its own valve technology in the aero-derivative gas turbine market and expands its range of actuation capabilities.

"PECC's substantial level of intellectual property and sole-source market positions conform to Meggitt's strategy of investing in highly-engineered components and sub-systems for use in extreme environments in its core aerospace, defence and energy markets," the FTSE 100 company said.

Chief executive Stephen Young added: "The acquisition of PECC is a key step in broadening our industrial valve capability. The very strong product and customer portfolio and the exceptional calibre of the employee base make the business a great fit with Meggitt."

PECC is headquartered in San Diego, California, and employs 78 people and will be integrated into Meggitt's control systems division.