Rockwell Collins Buys ARINC for $1.4B
... it would make sense if the company would further focus on TETRA development in the USA, especially by implementing TETRA at airport locations.
Rockwell Collins, Inc.announced last week that it has successfully completed the acquisition of ARINC Incorporated from The Carlyle Group for $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."
The Carlyle Group purchased ARINC in 2007 from its shareholders including several commercial airlines. The company has a Project 25 (P25) lab and recently announced plans to deploy TETRA technology at the Los Angeles International Airport. With that in mind, it would make sense if the company would further focus on TETRA development in the USA especially by implementing TETRA at airport locations. During the last TETRA Congress Americas event, ARINC’s John Monto, Director of Radio Technology Solutions at ARINC, spoke about deploying TETRA to Meet Mission-Critical Airline and Aviation Ground-Based Communications Needs at LAX Airport.
Integration process
The company expects the impact of the acquisition to be EPS accretive once certain transaction and integration costs have been incurred. The majority of integration activities are expected to be completed in six to nine months. For the near term, customers can expect business as usual, and should continue to work with their current sales representatives, customer service centers and web-based resources.
Source: MCCResources