logo
Plus   Neg
Share
Email

Curtiss-Wright To Buy Dresser-Rand Government Business

Curtiss-Wright Corp. (CW) said that it agreed to acquire the assets that comprise the Dresser-Rand Government Business, a business unit of Siemens Government Technologies which is a wholly-owned U.S. subsidiary of Siemens AG in Germany, for $212.5 million in cash.

Curtiss-Wright noted that the acquired business will operate within Curtiss-Wright's Power segment, and is expected to be accretive to 2018 earnings per share and produce a free cash flow conversion in excess of 100%, excluding the effects of purchase accounting.

Dresser-Rand is a designer and manufacturer of mission-critical, high-speed rotating equipment solutions, including reciprocating compressors, steam turbines and steam system valves, supporting Nimitz-class and Ford-class aircraft carriers, Virginia-class and Columbia-class submarines, and most major U.S. Navy shipbuilding programs.

Dresser-Rand is the sole supplier of steam turbines and main engine guard valves on all aircraft carrier programs. Through its three service centers, it is also a leading provider of ship repair and maintenance for the U.S. Navy's Atlantic and Pacific fleets.

The Dresser-Rand government business, which employs approximately 150 people, is expected to generate sales of approximately $95 million in fiscal 2018, principally to the naval defense market, with additional sales to the power generation market.

The acquisition is expected to close in April 2018, subject to the receipt of regulatory approval and other closing conditions.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Walt Disney Co. confirmed that its upcoming streaming service Disney+ will launch in five countries, including the U.S., in November this year. The company has reached global agreements with major platforms to distribute the Disney+ app across partner mobile and connected TV devices. Disney+ will launch in the U.S., Canada and the Netherlands on November 12. Corporate America is committed to providing long-term economic benefit to all people rather than focusing on just shareholders' interests, Business Roundtable said Monday. The updated statement on the "purpose of a corporation" moves away from the principles of shareholder primacy that has been endorsed since 1997, and redefines corporate responsibility. Club Car, a unit of Ingersoll Rand Inc., withdrew 12,313 gas utility and transport vehicles in two recalls over concerns of fire and burn hazards due to fuel leak. These include about 2,013 vehicles that were sold in Canada. Club Car makes electric and gas-powered golf cars and utility task vehicles (UTVs) for personal and commercial use.