United Technologies to buy Goodrich for $16.5 billion

United Technologies Corp. agreed Thursday to buy Goodrich Corp. for $16.5 billion, adding a maker of aircraft landing gear and jet-turbine casings to take advantage of a record surge in commercial plane orders.

The acquisition caps a years-long pursuit by United Technologies, whose aviation brands include Pratt & Whitney jet engines and Sikorsky helicopters. Chief Executive Louis Chenevert plans to fold his Hamilton Sundstrand aviation equipment and Goodrich into UTC Aerospace Systems, based in Goodrich’s hometown of Charlotte, N.C.

Goodrich stockholders will get $127.50 a share as Hartford, Conn.-based United Technologies finances about 25% of the purchase with equity and the rest with new debt.

Chenevert’s acquisition marks one of the industry’s largest deals and the first big aerospace purchase for United Technologies since the 1999 takeover of Sundstrand Corp. for $4 billion. It’s also the first major deal by Chenevert, 54, who rose to become CEO in 2008 after running Pratt & Whitney.

Goodrich shares surged $11.11, or 10.1%, to $120.60. United Technologies shares slid $6.56, or 8.8%, to $68.31.