US-based defense contractor Curtiss-Wright Corporation is acquiring Dresser-Rand Government Business, a US subsidiary of Siemens AG in Germany, for $212.5 million in cash.
Dresser-Rand is specialized in US Navy power and compression products and will operate within Curtiss-Wright’s Power segment.
Dresser-Rand is a leading designer and manufacturer of mission-critical, high-speed rotating equipment solutions, including reciprocating compressors, steam turbines and steam system valves, supporting Nimitz-class and Ford-class aircraft carriers, Virginia-class and Columbia-class submarines, and most major US Navy shipbuilding programs.
Dresser-Rand is the sole supplier of steam turbines and main engine guard valves on all aircraft carrier programs. Through its three service centers, it is also a leading provider of ship repair and maintenance for the US Navy’s Atlantic and Pacific fleets.
“The acquisition of Dresser-Rand’s government business portfolio significantly expands our shipset content and increases our footprint on new US Navy nuclear vessels, establishes a prominent Curtiss-Wright presence at US Navy shipyards, and provides an opportunity to grow our existing US Navy aftermarket business,” said David C. Adams, chairman and CEO of Curtiss-Wright Corporation.
Curtiss-Wright expects the Dresser-Rand government business, which employs approximately 150 people, to generate sales of approximately $95 million in fiscal 2018, principally to the naval defense market, with additional sales to the power generation market. The acquisition is expected to close in April 2018, subject to the receipt of regulatory approval and other closing conditions.