United Tech to buy Goodrich for $16.5 bn | business | Hindustan Times
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United Tech to buy Goodrich for $16.5 bn

business Updated: Sep 22, 2011 21:48 IST
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United Technologies Corp has reached a $16.5 billion cash deal to acquire aircraft components maker Goodrich Corp, in the diversified US manufacturer's biggest deal in a decade.

United Tech said on Wednesday it would pay $127.5 a share for Goodrich, a 47% premium over the stock's closing price last on Thursday.

The deal, if completed, would be the diversified US manufacturer's largest takeover in a decade. It also includes $1.9 billion in assumed debt.

It would boost United Tech's presence in the commercial aviation business, as Goodrich supplies a host of parts to both European aerospace conglomerate EADS's Airbus division and to Boeing Co.

It would be a big move for United Tech chief executive Louis Chenevert, who had long said he was interested in doing more deals but was having a hard time coming to terms with targets on price.