CEDAR RAPIDS, Iowa, Aug. 12 (UPI) -- Rockwell Collins in Cedar Rapids, Iowa, announced it plans to acquire ARINC Inc. in a move to grow its flight services business,.
Under a definitive agreement, Rockwell Collins will pay $1.39 billion for ARINC, a company in Annapolis, Md., that is part of The Carlyle Group, which has its headquarters in Washington, D.C., and is involved in communications and information processing solutions for the commercial aviation industry.
"Strategically, this acquisition is a natural fit for Rockwell Collins," said Kelly Ortberg, Rockwell Collins' chief executive officer and president. "It accelerates our strategy to develop comprehensive information management solutions by building on our existing information-enabled products and systems and ARINC's ground–based networks and services to further expand our opportunities beyond the aircraft."
Rockwell Collins said did not give a date for closing of the transaction, which requires regulatory approvals.
"We're excited to be joining a company who shares our vision and focus on providing trusted solutions for our customers," said ARINC Chairman and Chief Executive Officer John Belcher. "Rockwell Collins' expertise in managing information on-board the aircraft, coupled with our innovative and reliable air-to-ground communications services, will be instrumental in providing new integrated information management solutions for our customers."