U.S. diversified manufacturer United Technologies Corp (UTX.N) is exploring a takeover of aerospace company Goodrich Corp (GR.N) but the two sides are not yet close to a deal, according to a source with knowledge of the situation. Reuters reported on Friday that United Technologies was lining up $10 billion to $20 billion in financing for a U.S. acquisition that could shape up as its biggest takeover in a decade. Investors bid up shares of aerospace companies on the news, with speculation increasingly focused on Goodrich. The stock rose to as high as $112 in after-hours trading on Friday, valuing Goodrich at $14 billion. A move by United Tech could mark the start of a more aggressive phase of consolidation in the aerospace sector to prepare for cuts in defense spending in the United States and Europe.
United Technologies Corporation (UTC) is a provider of technology products and services to the building systems and aerospace industries worldwide. Shares of UTX fell by 0.15% or $-0.11/share to $75.50. In the past year, the shares have traded as low as $67.12 and as high as $91.83. On average, 5709420 shares of UTX exchange hands on a given day and today's volume is recorded at 8955864.
Goodrich Corporation (Goodrich) is a supplier of aerospace components, systems and services to the commercial and general aviation airplane markets. Shares of GR traded higher by 7.41% or $6.41/share to $92.89. In the past year, the shares have traded as low as $70.39 and as high as $99.67. On average, 1496380 shares of GR exchange hands on a given day and today's volume is recorded at 5013255.
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