17 March 2014
Textron Inc. (NYSE: TXT) said it has closed its acquisition of Beech Holdings, LLC, the parent of Beechcraft Corp., and that it will bring together its Cessna business and Beechcraft to form a new segment called Textron Aviation.
Cessna and Beechcraft together produced about USD4.6bn in revenues during 2013.
Cessna, Beechcraft and Hawker will each remain distinct brands to preserve their rich histories and respective strengths in the marketplace.
Under the terms of the transaction, Textron purchased all outstanding equity interests in Beech Holdings for approximately USD1.4bn in cash. Textron financed the purchase of the equity as well as the repayment of Beechcraft´s working capital debt through a combination of available cash, the issuance of USD600m in senior notes and drawing USD500m under a new five-year term loan.
Textron Inc. is a multi-industry company that leverages its global network of aircraft, defense, industrial and finance businesses to provide customers with innovative solutions and services. More information is available at www.textron.com.