By Dana Mattioli and Ted Mann 

United Technologies Corp. is talking to potential buyers for its Sikorsky Aircraft business, people familiar with the matter said, raising the prospect that a spinoff of the maker of Black Hawk helicopters could turn into a sale.

Boeing Co., Airbus Group NV and Lockheed Martin Corp. are among the companies exploring bids for Sikorsky or, alternatively, for a minority stake, some of the people said. Bids are due later this month.

"As previously announced, UTC is exploring strategic alternatives for Sikorsky, which could include a sale or spinoff," United Technologies spokesman John Moran said. "We continue to expect the evaluation will be completed by midyear."

Sikorsky is one of the world's largest helicopter makers with $7.5 billion in sales last year to a range of military and civilian buyers. The company could fetch around $10 billion in a full sale, some of the people said.

One sticking point of a potential sale is the tax bill. The corporate predecessor to United Technologies bought Sikorsky in 1929, meaning the gain from a sale could garner a large tax bill. As a result, when United Technologies said it was exploring strategic alternatives for the unit earlier this year, it indicated a spinoff was the most likely outcome.

Potential bidders and United Technologies might be able to get around the problem via a transaction called a Reverse Morris Trust, which would involve spinning off Sikorsky into a new joint venture in which a bidder would have a stake, some of the people said.

Sikorsky makes military and commercial helicopters and is the U.S. Defense Department's largest helicopter supplier by value. It is the supplier of Marine One, the helicopter that carries the U.S. president. Sikorsky also has an aftermarket business that sells parts and maintenance contracts. However, as wars wind down and crude prices remain depressed, Sikorsky's big military and oil-production markets are facing stress.

Meanwhile, Chief Executive Greg Hayes has been under pressure to streamline United Technologies, which also makes Otis elevators, Pratt & Whitney jet engines and Carrier air-conditioning units. Mr. Hayes's predecessor, Louis Chênevert, long opposed a sale of Sikorsky. When he abruptly left the helm last year, it created an opening for an exit.

A number of companies could have interest in the helicopter maker. Airbus is the world's largest commercial helicopter maker. Boeing makes the AH-64 Apache attack helicopter and Chinook transport chopper, but sold its commercial line in 1999. Lockheed Martin doesn't build rotorcraft, though it is involved as a systems integrator on several military helicopter programs.

Sikorsky has good long-term prospects, United Technologies says. The company is developing a new heavy-lift helicopter for the U.S. Marine Corps, and last year won a $1.24 billion contract to provide a new chopper to serve as Marine One. The company also won a contract for $1.2 billion with Lockheed Martin to provide a new combat rescue helicopter for the U.S. Air Force.

Robert Wall contributed to this article.

Write to Dana Mattioli at dana.mattioli@wsj.com and Ted Mann at ted.mann@wsj.com

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