09.11.2023 12:57:47

TransDigm Buys CPI's Electron Device Business For $1.385 Bln Cash

(RTTNews) - TransDigm Group Inc. (TDG), an aerospace and defense company, on Thursday announced that it has entered into a definitive agreement with Communications & Power Industries or CPI to acquire its Electron Device Business for around $1.385 billion in cash.

The Electron Device Business manufactures electronic components and subsystems primarily serving the aerospace and defense market.

As per the company, around 70 percent of its revenue comes from the aftermarket and most of its revenue is generated from proprietary products.

For the year ending September 30, 2023, Electron Device Business generated around $300 million in revenue.

The deal, which is set to close in the third quarter of fiscal 2024, will be funded by cash and long-term debt.

On Wednesday, TransDigm shares closed at $895.21, up 0.27% on the New York Stock Exchange.

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