$11.75 billion deal: GE Aerospace buys Castings firm Consolidated Precision Products

GE Aerospace announced on Tuesday it will acquire castings manufacturer Consolidated Precision Products for $11.75 billion. The deal involves buying the Cleveland, Ohio-based firm from investment groups Warburg Pincus and Berkshire Partners. GE CEO Larry Culp stated that investing in mission-critical casting capacity is required to support strong simultaneous demand across commercial engines, the aftermarket, and defense sectors. Consolidated Precision Products employs approximately 6,600 workers in over 20 facilities and produces components from superalloys, titanium, aluminum, magnesium, and steel for military, commercial, industrial turbine, and helicopter systems. The transaction is expected to close in the second half of 2027. Under the agreement, $7 billion will be paid in cash while the remainder is financed by new debt. GE Aerospace noted that the deal should increase adjusted profit per share and free cash flow in the first year following completion without changing current capital allocation plans. The company intends to integrate design and manufacturing to boost production output and reduce launch times for new technologies.