Aviation equipment supplier, Rockwell Collins has said that it is planning to acquire ARINC Inc. from the investment firm Carlyle Group in a deal valued at about $1.39 billion.

The acquisition will allow Rockwell Collins to expand its presence in the global market for advanced air-traffic control systems and in-flight connectivity. Rockwell Collins, which is based in Cedar Rapids, Iowa, is aiming to reduce its reliance on government contracts and expand its presence in the next-generation traffic control networks and passenger communications aboard airliners and business jets to generate revenues.

On the other hand, ARINC, which is based in Annapolis, Md, is part of the Federal Aviation Administration's data-communications initiative. It is also a partner in established international ventures providing broadband access to aircraft operated by governments and other operators of business jets.

Rockwell has been working to increase its market share of avionics, cockpit-safety technology and other systems installed on large and small airliners. However, the company has struggled to compete against rivals such as Honeywell International Inc. and France's Thales SA. The acquisition will put in a much better position to compete in the market.