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GE Aerospace (GE) Acquires CPP for $12 Billion to Boost Growth

Published on · Source: finance.yahoo.com

GE Aerospace (GE) Acquires CPP for $12 Billion to Boost Growth

AI Summary

Summarized by AI from the source below

GE Aerospace (NYSE: GE) is acquiring Consolidated Precision Products (CPP) for approximately $12 billion, marking its largest acquisition since becoming a standalone company. This deal is aimed at enhancing control over precision castings, vital for the aerospace engine supply chain, as GE faces significant demand with a backlog exceeding $210 billion. It is anticipated that CPP will generate around $2 billion in revenue in 2027. The success of this acquisition will depend on producing enough free cash flow to justify the premium price paid for CPP, which is valued at about 26 times expected 2027 EBITDA.

Informational only, not financial advice. Content is AI-generated and may contain errors. How this works.

About GE Aerospace (GE)

GE Aerospace designs and services jet engines for commercial and military aircraft, following General Electric’s breakup into focused companies.

The Industrials sector covers manufacturers, aerospace, defense and transport companies tied to economic activity.

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