23-Sep-2011 8:52 AM

United Technologies to acquire Goodrich Corporation in USD18.4bn transaction

United Technologies Corp (UTC) reached agreement (21-Sep-2011) to purchase Goodrich Corporation for USD127.50 per share in cash. This equates to a total enterprise value of USD18.4 billion, including USD1.9 billion in net debt assumed. UTC expects to finance the transaction through a combination of debt and equity issuance. The equity component is expected to approximate 25% of the total. The closing is subject to closing conditions, including regulatory and Goodrich shareholder approvals. Following completion of the transaction, UTC is expected to have worldwide sales of approximately USD66 billion, based on projected 2011 results. Goodrich sales revenue for 2011 is estimated at USD8 billion. UTC also reaffirmed its expectations for 2011 revenues of approximately USD58 billion, earnings per share in the range of USD5.35-5.45, and cash flow from operations less capital expenditures equal to or in excess of net income attributable to common shareowners. [more - original PR]

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