Valencia aerospace parts company to become part of Fort Collins corporation.
HR Textron has been sold to the Woodward Governor Company of
expected to close in April.
“This transaction is an excellent value
for Textron and Woodward and is consistent with Textron’s financial strategy
and our defense and intelligence systems strategy within the Textron Systems
segment,” said Lewis B. Campbell, Textron’s chairman and CEO.
Woodward agreed to pay approximately $365 million in cash
for the company. Under the purchase agreement, Woodward would acquire all of
the outstanding capital stock of HR Textron from Textron Inc., its parent
company, and the
assets used in HR Textron's business. HR Textron would become a wholly owned
subsidiary of Woodward and be integrated into Woodward's Airframe Systems
The company, located on
locations, employs 912 people.
“There will not be any staffing changes as the transition is
completed,” said Steven Green, Vice President of Communications for Textron
Inc., adding that the parent company of Textron (Textron Inc) felt HR Textron as
an operating unit would be a better fit with Woodward.
"We believe the combination of HR Textron and
Woodward's Airframe Systems business will significantly enhance the value of
the technologies and related systems offerings of each business, positioning us
for greater growth in motion control applications in the aerospace and defense
markets," said Thomas A. Gendron, Woodward Chairman and Chief Executive
Officer. "The combination of hydraulic and electromechanical actuation
capabilities enables Woodward to provide our customers with broader and more
valuable systems solutions."
HR Textron's net sales were approximately $260 million in
2008 and the addition is expected to be approximately neutral to Woodward's
earnings per share in fiscal 2009 and accretive in 2010.
HR Textron is an industry leader in the advanced technology,
engineering development, and manufacturing of mission-critical actuation
systems and controls for weapons, aircraft, turbine engines, and combat
vehicles. It is recognized for hydraulic and electric primary flight control
actuation products including electromechanical actuation systems for unmanned
combat air vehicles and weapons, such as the Joint Direct Attack Munition
(JDAM) and the AIM 9X Sidewinder; hydraulic and electric flight controls for
fixed and rotor wing aircraft; servovalves for global aerospace; turret
controls and stabilization systems for the U.S. M1 Abrams Main Battle Tank and
other armored vehicles worldwide; and fuel and pneumatics valves for aircraft
HR Textron provides solutions for the critical motion
control systems of customers such as
Boeing, Cessna, General Dynamics, Lockheed Martin, Raytheon and United
Technologies. Additionally, Woodward believes there will be operating synergies
and significant opportunities for both businesses, including the potential
within the Woodward business segments to share technologies and leverage the
Woodward is an independent designer, manufacturer, and service
provider of energy control and optimization solutions for commercial and
military aircraft, turbines, reciprocating engines, and electrical power system
equipment. The company's innovative fluid energy, combustion control,
electrical energy, and motion control systems help customers offer cleaner,
more reliable, and more cost-effective equipment. Leading original equipment
manufacturers use our products and services in aerospace, power and process
industries, and transportation. Woodward serves global markets in aerospace,
power and process industries, and transportation.