United Technologies to buy Goodrich for $18.4bn

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United Technologies (UTC) has agreed to buy Goodrich for $18.4 billion, subject to regulatory approvals.

UTC expects the combined company to have worldwide sales of approximately $66 billion, based on its projected 2011 results.

The purchase would result in increased scale, financial strength and complementary products, strengthening the company's position in the aerospace and defence industry, said UTC in a statement.

"Goodrich is a great business with a solid product portfolio and significant aftermarket sales that complement UTC's existing aerospace presence," said UTC chairman and CEO Louis Chenevert.

"This acquisition further strengthens our position in the growing commercial aerospace market and enhances our ability to support our customers with more integrated systems," he added.

Goodrich supplies systems and services to the aerospace and defence industry, including aircraft landing gear, aircraft wheels and brakes. It is positioned for future growth based on its increased presence on leading new commercial and military aircraft, said UTC.

Marshall Larsen, the chairman, president and CEO of Goodrich, will become the chairman and CEO of a combined UTC Aerospace Systems business unit. The senior leadership team of the combined business will be located in Charlotte, North Carolina.

UTC's current portfolio includes Pratt & Whitney aircraft engines, Sikorsky helicopters, Carrier heating, air conditioning and refrigeration systems and Hamilton Sundstrand aerospace systems.