DOW JONES NEWSWIRES
United Technologies Corp. (UTX) plans to put a handful of
businesses up for sale, including its Rocketdyne rocket-engine
business, to help fund its roughly $16 billion deal to buy
aircraft-components maker Goodrich Corp. (GR).
Rocketdyne is part of the Pratt & Whitney operations of
United Technologies. Last year, the company revealed it was
considering strategic options for the business, highlighting the
increased fragility of the U.S. space industrial base.
"We are taking the opportunity to re-evaluate our portfolio as
we enter a transformational stage with the proposed acquisitions of
Goodrich and Rolls-Royce's share in the International Aero Engines
joint venture," said Chairman and Chief Executive Louis Chenevert.
Last year, United Technologies said it would end one aircraft-joint
venture with Rolls-Royce Holdings PLC (RYCEY, RR.LN) to start
another.
Other businesses identified as up for sale included its Clipper
Windpower wind-energy business and its Hamilton Sundstrand
Industrial businesses. United Technologies said it expects proceeds
of roughly $3 billion from divestitures.
The company's deal to buy Goodrich is expected to close by the
middle of the year after recently garnering an overwhelming vote of
approval by Goodrich shareholders.
Shares were recently down 0.4% at $86.44.
-By Mia Lamar, Dow Jones Newswires; 212-416-3207;
mia.lamar@dowjones.com