Shipboard

Curtiss-Wright Signs $ 132 Million Deal for On-Board Box Supplier 901D; David Adams quoted

David adams

Curtiss-Wright (NYSE: CW) has agreed to acquire electronics producer 901D Holdings for approximately $ 132 million in cash as part of efforts to expand its work with the US Navy on shipbuilding programs.

Curtiss-Wright said Tuesday he expects the transaction to close in December, subject to regulatory approval and other customary closing conditions, and will operate 901 as part of its defense segment a once the agreement is concluded.

“The acquisition of 901D increases our footprint on critical US Navy shipbuilding programs, as well as the breadth of our instrumentation and control systems technologies,” said David Adams, president and CEO of Curtiss-Wright.

Adams added that the transaction will allow the company to offer platforms aboard non-nuclear and nuclear-powered ships and benefit from the continued expansion of the country’s naval fleet.

Curtiss-Wright expects the transaction to be accretive to adjusted earnings per share in 2020 and generate a free cash flow conversion rate greater than 100%.

901D has approximately 85 employees and is expected to report sales of approximately $ 48 million for fiscal 2019. The company was founded in 1999 and provides electronic systems and subsystems and enclosure platforms for Reinforced edge for use aboard Navy surface ships, submarines and aircraft carriers.


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