B/E Aerospace To Separate Into 2 Businesses
WELLINGTON, Fla. (AP) -- B/E Aerospace, which makes products for commercial aircraft and business jets, is planning to separate into two independent, publicly traded companies.
One of the businesses will concentrate on aircraft cabin interior equipment. This includes design, development, manufacturing, certification and direct sales worldwide. The business is currently known as Manufacturing Co.
The other business, which is being called Services Co., will focus on distribution, logistics and technical services for the aerospace and energy services markets. It will distribute aerospace fasteners, consumables and logistics services to the airline and aerospace industries.
B/E Aerospace Inc. said Tuesday that its board and management continue to review and aggressively pursue strategic options to help increase shareholder value. Last month it said that among the alternatives it was considering was a potential sale of the company or a merger with another company.
Wellington, Florida-based B/E Aerospace plans to give further details about the two businesses' boards and management teams at a later date. The separation of the businesses is expected to occur in 2015's first quarter.
B/E Aerospace also said that it is lifting its full-year earnings forecast to $4.35 per share. Its prior guidance was for earnings of about $4.30 per share. Analysts surveyed by FactSet predict $4.40 per share.
Its shares rose 92 cents to $99.80 in premarket trading Tuesday about three hours ahead of the market open. Its shares have risen more than 13 percent do far this year.