United Technologies Corp. is raising its quarterly dividend by 2 cents a share as the conglomerate moves through a three-year plan in which it has pledged to return $22 billion to shareholders.

The first payout of 66 cents a share will be made June 10 to shareholders of record at the close of business May 20.

The Connecticut-based industrial conglomerate, which successfully opposed a buyout bid from Honeywell International Inc., said it will boost payouts to shareholders through a combination of stock buybacks and dividends through 2018.

Last month, the maker of Pratt & Whitney jet engines and Otis elevators affirmed its financial projections for the year, saying it didn't need to resort to M&A deals to boost operations and pledging to continue to buy back stock aggressively.

Last year, United Technologies sold its Sikorsky unit, best known for its Black Hawk helicopters, to Lockheed Martin Corp., in what was the defense industry's largest deal in 20 years. The company said it would largely use the proceeds to buy back stock.

Shares closed Monday at $105.20, down 9% over the past 12 months.

Write to Maria Armental at maria.armental@wsj.com

(END) Dow Jones Newswires

April 25, 2016 20:45 ET (00:45 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.
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