GE to buy Consolidated Precision Products for US$11.75 billion

[WASHINGTON] GE Aerospace agreed to buy castings manufacturer Consolidated Precision Products from Warburg Pincus and Berkshire Partners for US$11.75 billion, a deal that will significantly expand its production footprint for the critical components.

The purchase of closely held CPP will be funded by US$7 billion in cash with new debt financing the remainder of the deal, which is expected to close in the second half of 2027, GE Aerospace said in a statement.

The agreement is the largest acquisition by GE Aerospace since it became an independent company after the three-way breakup of General Electric in 2024. CPP specialises in highly engineered castings used in aerospace and defence markets, with more than 20 facilities in its portfolio.

Castings have been a bottleneck for aerospace manufacturers in recent years as demand for air travel surged following the pandemic.

GE Aerospace aims to boost capacity, fulfill surging demand for new jet engines powering aircraft from companies such as Boeing and Airbus as well as spare parts needed by airlines and components for the defence industry, GE Aerospace chief executive officer Larry Culp said in a statement.

“We expect to expand capacity, improve performance and accelerate new engine technologies for the current fleet and next-generation platforms,” Culp said.

GE is the world’s biggest maker of jet engines, powering aircraft including the Boeing 787 Dreamliner and the larger 777. The company’s CFM International joint venture with Safran of France produces engines for all Boeing 737 and some Airbus A320neo jetliners. BLOOMBERG