Precision Castparts Corp. (PCC) is not about to drop out of the
mergers and acquisitions (M&A) arena despite some
outside opinions that the recent era of big takeovers cannot
"We are not at
anywhere near an end to whats available in
the M&A world," Mark Donegan, chairman and chief
executive officer of Portland, Ore.-based PCC, said during a
Credit Suisse Global Industries conference this past week.
In terms of PCCs
historical goals, the ability to deploy $1 billion on an
ongoing basis for potential acquisitions "is not a challenge to
us at all," Donegan said.
acquisitions in the past year have included its $2.9-billion
purchase of Exton, Pa.-based Titanium Metals Corp. (Timet) in
late 2012 and Permaswage SAS, a global fittings manufacturer
based in France that is heavily involved in aerospace and for
which it paid $600 million this year. This doesnt include
smaller, so-called bolt-on acquisitions, some of which PCC
isnt required to disclose.
The closest Donegan
came to revealing what is on his wish list came in July, when
he said hed like to pick up a supplier of titanium
fastener stock (
amm.com, July 25). PCCs various operations
comprise what some outsiders regard as among the worlds
three-largest producers of aerospace fasteners.
said PCC continues to be pleased with the progress of its
largest acquisition, Timet. "The integration is going certainly
equal or better than we ever expected it to go and were
positioning that business extremely well" for where PCC sees
growth occurring in the next couple of years, he said.