Raytheon Concludes Sale of its Aircraft Subsidiary
Raytheon yesterday announced it completed the sale of its wholly owned Raytheon Aircraft subsidiary to Hawker Beechcraft, a new privately held company formed by GS Capital Partners (an affiliate of Goldman Sachs) and Onex Partners, for approximately $3.3 billion in cash. The transaction includes Raytheon Aircraft facilities and other assets in Wichita and Salina, Kan.; Little Rock, Ark.; and Dallas; as well as its nine-facility FBO/maintenance network (now known as Hawker Beechcraft Services) in the U.S., UK and Mexico. The transaction does not include Raytheon’s ownership in fractional provider Flight Options or Raytheon Airline Aviation Services, which manages the Beechcraft 1900D program. “Completing the sale of Raytheon Aircraft gives us further opportunity to invest in our government and defense business and to deliver value to our shareholders,” said Raytheon chairman and CEO William Swanson. Raytheon had disclosed last July that it was “reviewing strategic alternatives for Raytheon Aircraft” and three major bidders quickly emerged, including the Carlyle Group and Cerberus Capital Management. “There will be no management changes,” according to a Hawker Beechcraft spokesman.