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Rockwell Collins shareholders greenlight UTC deal

BY Patricia Daddona

1/12/2018
PHOTO | CONTRIBUTED
PHOTO | CONTRIBUTED
Shareholders for Iowa avionics manufacturer Rockwell Collins have overwhelmingly backed the firm's proposed $30 billion sale to Farmington conglomerate United Technologies Corp.

Rockwell Collins Inc. said Thursday that more than 96 percent of all votes cast -- representing more than 72 percent of all shares of common stock outstanding -- favored the deal.

If regulators approve the acquisition, Rockwell Collins will be combined with UTC Aerospace Systems to create a new United Technologies business called Collins Aerospace Systems. The proposed deal is expected to close by the third quarter of 2018.

Kelly Ortberg, Rockwell Collins' CEO, said the new entity "will be a stronger company, with attractive aerospace product and service portfolios, and ultimately, better positioned for long-term success."

In an email, UTC welcomed the "vote of confidence," noting that it is "looking forward to the future to deliver more value to our customers and all United Technologies' stakeholders."

The two companies agreed to combine on Sept. 4. The deal will make Farmington-based UTC an even larger player in the global aerospace industry. UTC plans to finance the deal with equity ($23 billion) and also will assume Rockwell Collins' $7 billion in debt.