SaltWire's Atlantic regional weather forecast for November 9, 2023 | SaltWire - TransDigm Group said on Thursday it would buy the components and subsystems business of Communications & Power Industries for about $1.39 billion in cash to deepen its presence in the booming aircraft repair market.
Airlines, grappling with a shortage of planes amid surging demand for air travel, are flying jets for longer, necessitating more repairs and services.Shares rose 7% in light premarket trading after the company authorized a special cash dividend of $35 per share and projected an upbeat 2024. The acquisition, which is expected to close by the end of TransDigm's third quarter of fiscal 2024, will be financed through existing cash, as well as new long-term debt.