Greg Hayes, CEO of United Technologies Corp. (NYSE: UTX), has said UTC™s move to acquire Rockwell Collins (NYSE: COL) under an estimated $30 billion deal seeks to advance the development of digital platforms for the aviation sector, Reuters reported Tuesday.
Hayes told Reuters the proposed acquisition also aims to facilitate the adoption of œpredictive analytics tools that work to help detect problems in engines and other aircraft components.
He said he gave Airbus CEO Tom Enders assurance that UTC™s Pratt & Whitney subsidiary will remain on schedule to deliver up to 400 aircraft engines this year.
œPratt has nothing to do with this, said Hayes of the planned merger.
Under the deal, UTC will combine its aerospace systems business with Rockwell Collins to establish a new business unit that will run as Collins Aerospace Systems.
Bloomberg also reported that Boeing (NYSE: BA) and Airbus have expressed concerns over the proposed UTC-Rockwell Collins merger.
Boeing said in an emailed statement the Chicago-based aerospace company is skeptical that the transaction would be in the best interest of industry and clients.
œShould we determine that this deal is inconsistent with those interests, we would intend to exercise our contractual rights and pursue the appropriate regulatory options to protect our interests, Boeing added.
œWe hope that this M&A would not distract UTC from their top operational priority, said a spokesman for Airbus.
