NEW YORK (AP) — Alcoa is delving deeper into the aerospace industry, spending nearly $3 billion to acquire the British jet engine component company Firth Rixson.

Alcoa will pay $2.35 billion in cash and $500 million in stock to the current owner, the private equity firm Oak Hill Capital. It may spend an additional $150 million based on pre-set performance targets.

The Pittsburgh company said Thursday that the deal will boost annual aerospace revenue by 20 percent, to about $4.8 billion. Firth Rixson has operations in the United States, Asia and Europe.

Alcoa is increasing its focus on finished aluminum products for aerospace, autos and other industries. Those segments account for more than half of the company's revenue and three-quarters of its after-tax operating income.