Aerospace supplier UTAS ready for acquisitions
By Tim Hepher
PARIS (Reuters) - Three years after its founding merger, UTC Aerospace Systems (UTAS) is ready to turn its attention to acquisitions and is assessing potential targets, its president said on Sunday.
Until now, the aircraft components unit of United Technologies (UTX.N: Quote) has been focusing on integrating Goodrich, acquired by parent UTC for more than $16 billion in 2012 and combined with Hamilton Sundstrand to form UTAS.
"I think that process has been successful and it now enables us to look at what's next," UTAS President David Gitlin told Reuters.
"After we got through year two and things were going so well, it enabled us to start looking outward again and we are doing that."
United Technologies Chief Executive Officer Greg Hayes has said it would spend at least $1 billion on acquisitions this year and set out a number of financial criteria.
"Our focus is on adding to the core, and usually we tend to err on the side of bigger deals rather than smaller ones," Gitlin said.
Asked what size of deals might interest UTAS, he said, "It can vary. We don't want to do a bunch of $10-20 million acquisitions, but we want to look at something that can move the needle. The size is a little bit less significant than the type of company and products they have."
Asked whether UTAS was already talking to potential partners, he said, "We are always assessing." He added he could not estimate the timeframe for any deals. Continued...