GE Aerospace agreed Sept. 8, 2025 to buy Consolidated Precision Products for $11.75 billion.
Why it matters: The deal gives GE more control over a key aerospace bottleneck: castings used in engines and defense work. It also shows industrial buyers are still paying up for control of critical suppliers.
- GE said it signed the agreement on Sept. 8, 2025 and expects the deal to close in the second half of 2027.
- The transaction is valued at $11.75 billion and will be financed with $7 billion in cash and the rest in new debt.
- Reuters reported the price implies about 26 times CPP's expected 2027 core profit, excluding anticipated integration benefits.
- Reuters also reported CPP has about 6,600 employees across more than 20 facilities worldwide.
GE Aerospace said the acquisition is meant to add casting capacity as it works through strong demand in commercial engines, aftermarket services and defense. Chairman and CEO H. Lawrence Culp, Jr. said the company needs the capacity to support demand across those businesses.
The company said CPP supplies castings for nearly every current-generation commercial aircraft program, making the acquisition a direct move deeper into GE's supply chain. GE also said it has been a CPP customer for more than 15 years and expects the deal to add to adjusted EPS and free cash flow in the first year, excluding one-time costs and amortization tied to the transaction.
Independent reporting from Reuters said the purchase price implies about 26 times CPP's expected 2027 core profit, excluding anticipated integration benefits. Reuters also reported CPP employs about 6,600 people across more than 20 facilities worldwide. GE's 2025 annual report says supply-chain constraints remain a challenge and that the company is investing in manufacturing and supplier capacity to improve production and deliveries.
CPP, founded in 1991, has expanded through acquisitions and capacity investments across the U.S., Mexico, Europe and other regions, according to company materials. It serves commercial aerospace, defense and power generation customers and has also moved upstream into alloy melting, core technologies and wax pattern production.
The companies said the deal is expected to close in the second half of 2027, subject to regulatory approvals and other closing conditions.
By the numbers
- $11.75 billion - enterprise value of the transaction.
- $7 billion - cash GE said it will use, with the rest funded by new debt.
- 26x - Reuters' reported multiple of CPP's expected 2027 core profit.
Yes, but: The valuation multiple is based on expected 2027 profit and excludes anticipated integration benefits, so the economics depend on execution and future demand.
What's next: The deal is expected to close in the second half of 2027, pending regulatory approvals and other closing conditions.