Woodward To Acquire L'Orange From Rolls-Royce - Quick Facts

(RTTNews) - Rolls-Royce (RR.L) and Woodward, Inc. (WWD) announced they have signed an agreement for Woodward to acquire L'Orange GmbH and its related operations, for an enterprise value of 700 million euros or $859 million. L'Orange is part of Rolls-Royce, the power solutions provider, and specifically its Rolls-Royce Power Systems business. Rolls-Royce announced in January that it was reviewing strategic options for L'Orange.

L'Orange supplies fuel injection technology for engines that power a wide range of industrial applications including marine power and propulsion systems, special-application vehicles, oil and gas processing, and power generation. L'Orange is based in Stuttgart, Germany and has approximately 1,000 employees based mostly in Germany, but also in the U.S. and China.

Separately, Woodward, Inc. announced that it has recorded in its second quarter of fiscal 2018 specific charges totaling $17 million pre-tax, or $0.20 per share, primarily related to its previously announced decision to move its operations located in Duarte, CA to the recently renovated Drake Campus in Fort Collins, CO. Woodward said the company is exploring various options with respect to the Duarte property and believes that a gain will be realized upon its disposition, which is anticipated to offset the specific charges and other costs associated with the Duarte relocation.