HARTFORD (dpa-AFX) - Diversified manufacturer United Technologies Corp. (UTX) said Thursday that it has reached a mutual agreement with TransDigm Group Inc. (TDG) to terminate the previously announced sale of the Goodrich Corporation pump and engine control systems business to TransDigm after being informed that the U.S. Department of Justice objected to the deal.
In October, TransDigm agreed to acquire the pump & engine control systems business of Goodrich from United Technologies for about $236 million in cash.
Sale of the pump and engine control systems unit is one of the divestitures required by regulatory authorities as a condition of United Technologies' $16.5 billion acquisition of defense contractor Goodrich Corp. that consummated in July.
United Technologies said it plan to comply with its obligation to sell that business to a buyer acceptable to the U.S. Department of Justice and European Commission. Any proposed deal would be subject to regulatory approvals in the U.S. and other jurisdictions and to other customary closing conditions.
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