NEW YORK (AP) -- B/E Aerospace Inc. on Monday completed its purchase of Honeywell International Inc.'s aerospace distribution unit.
The deal, announced June 9, valued the unit at about $1.05 billion. The purchase price consisted of $901.4 million cash and six million shares of B/E stock.
In connection with the deal, B/E also entered into a new $875 million senior secured credit facility, consisting of a $525 million six-year term loan and $350 million five-year revolving credit facility.
B/E Aerospace makes aircraft cabin interior products and distributes aerospace fasteners. The Consumables Solutions unit acquired from Honeywell distributes aerospace fasteners and hardware, and provides logistics services to original equipment manufacturers, airlines and others. The Wellington, Fla.-based company said it will combine the Honeywell unit with its own distribution business, which is expected to account for more than 50 percent of B/E's operating earnings beginning in 2009.
In midday trading, B/E Aerospace shares fell 82 cents, or 3.1 percent, to $25.95, while Honeywell shares slipped 74 cents to $50.10.