UTC nearing deal on acquisition of Rockwell Collins
According to the Financial Times, United Technologies Corporation (UTC) was close to a deal that would see the Farmington, Connecticut conglomerate purchase aviation systems and cabin equipment manufacturer Rockwell Collins for nearly $30bn.
Dow Jones I.A.
41,763.46
04:30 15/10/20
Rockwell Collins Inc.
$141.04
11:00 21/06/19
United Technologies Corp.
$120.99
11:10 31/10/24
The two companies reportedly had been discussing a per-share price for Rockwell of $140 or less, with an agreement expected to be reached as soon as 4 September.
If the takeover deal for the $21bn Rockwell went through, UTC – already a $93bn company – would become the world's largest aircraft-equipment makers.
UTC has spent several years diversifying its portfolio, starting in 2012 when it acquired North Carolina based aerospace manufacturer Goodrich Corp for $16.5bn, which at the time was the largest ever deal for the group.
Rockwell itself completed an acquisition of B/E Aerospace for $8.6bn earlier in 2017.
As of 1615 BST, the speculation that had created a rise in share prices for the two firms on Tuesday had mostly leveled out, with UTC down 0.04% to $118.67 and with Rockwell losing ground 0.23% to $130.44.