Food and beverage technology solutions provider JBT Corp. (NYSE:JBT) has agreed to sell its AeroTech unit to Oshkosh Corp. (NYSE:OSK) in a $800 million all-cash deal.
Aerotech caters to airports, air freight providers, and commercial airlines and the move is part of JBT’s strategy to “Become a pure-play food and beverage solutions provider.”
JBT plans to use the proceeds from the deal to pare down its debt and drive inorganic growth. The deal is expected to close in the third quarter of this year and remains subject to closing conditions.
Importantly, the addition of Aerotech allows Oshkosh to enter the air transport support market, and the acquisition is expected to be accretive to the company’s bottom line in the first year itself.
JBT shares are on the rise at the time of writing today and the stock has climbed about 14% so far this year already.
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