Heico to buy aircraft aftermarket company Wencor in $2.1 billion deal
Heico Corp. (HEI) announced Monday an agreement to buy commercial and military aircraft aftermarket company Wencor Group in a deal valued at $2.05 billion from affiliates of investor Warburg Pincus and Wencor's management. Under terms of the deal, Heico will pay $1.9 billion in cash and $150 million in Heico common stock. Heico which makes products for the aviation, space, defense, medical, telecommunications and electronics industries, said it believes the acquisition will add to its earnings within the year following closing, which is expected to occur by the end of 2023. Heico's stock was still inactive in the premarket. "The Wencor acquisition materially expands Heico's aftermarket product offerings, enabling the combined company to offer even greater savings and capabilities to its customers, while expanding our new products and services development capacity," said Heico Chief Executive Officer Laurans Mendelson. Heico shares have gained 8.0% year to date while the S&P 500 has tacked on 7.4%.
-Tomi Kilgore
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
05-15-23 0857ET
Copyright (c) 2023 Dow Jones & Company, Inc.-
Best- and Worst-Performing Stocks of April 2024
-
Magnificent 7 Stocks Earnings Updates: AI Remains the Focus
-
Small-Cap and Value Stocks Are Undervalued
-
Why We Expect the Job Market’s Slowdown to Renew in 2024
-
5 Undervalued Stocks to Buy to Play a Little Defense
-
Markets Brief: AI Leaders Excel In Earnings Season So Far
-
What History Tells Us About the Fed’s Next Move
-
What’s Happening In the Markets This Week
-
Mastercard Earnings: A Stable Environment Highlights the Firm’s Strengths
-
Pfizer Earnings: Solid Results Supported by Steady Tracking Toward $4 Billion In Cost Cuts
-
10 Top-Performing Dividend Stocks
-
Starbucks Earnings: Not a Lot to Like About Results as Global Traffic Sputters
-
CVS Earnings: Weak Medicare Advantage Profits Cut Into 2024 Outlook
-
Amazon Earnings: AWS Growth Accelerates and Profit Margins Improve
-
SiriusXM Earnings: Decent Results With Plan for Technology and Content Investment to Drive Growth
-
Coca-Cola Earnings: Solid Volume On Innovation and Digital Engagement