It has been announced that the acquisition of ARINC Inc by Rockwell Collins Inc has been successfully completed for the sum of $1.4 billion.
"With this move we take a major leap forward to realizing our vision of providing a richer set of seamless information management solutions that encompass the aircraft and ground-based systems," said Kelly Ortberg, CEO and president of Rockwell Collins. "The acquisition represents an exciting new growth platform for Rockwell Collins and shifts the balance of the company toward the expanding commercial aviation sector."
"Combining ARINC's high-performance, high-quality and high-assurance networks and services with our information systems onboard the aircraft strengthens our ability to deliver improved efficiency and safety, and enhanced connectivity," added Ortberg. "In addition, the acquisition opens up adjacent market opportunities by leveraging ARINC's strong presence in airport information systems and the broader transportation and security segments."
In order to continue to serve the best interests of the industry and to avoid any perceived conflict of interests, Rockwell Collins has simultaneously completed the sale of ARINC’s Industry Standards Organization to SAE International. It is also undergoing the process of divesting ARINC’s Aerospace Systems Engineering and Support business, a part of the organisation that provides military aircraft modifications, maintenance, integration in addition to logistics and support.
Rockwell Collins expect that the impact of the acquisition to be EPS accretive after certain integration costs have been incurred. The integration activities are expected to be completed in six to nine months. Until then it will be ‘business as usual’ with all customers continuing to work with current sales reps, customer service centres and all web-based resources.
Rockwell Collins deliver expertise in flight deck avionics, information management, mission critical communications, simulation and training and cabin electronics on a global scale and are pioneers in the development and deployment of communications and aviation electronics innovations for government and commercial applications.