CW Q3 2019 Aerospace & Defense M&A and Financing Report
This report is prepared as a courtesy to the Aerospace & Defense business community by Columbia West based on our research and information collected by our firm. Despite our dedicated efforts, occasionally a deal might be missed or appropriate credit not given to legal or financial advisors. Please feel free to contact us if you have information on a transaction that you want to ensure is included and credit attributed to appropriate advisors.
M&A – Strategic
7/1/2019 Gryphon Technologies Inc. acquired PGFM Solutions, LLC. The terms of the transaction were not disclosed. PGFM Solutions manufactures and provides cybersecurity, risk assessment, machinery control systems, electromagnetic compatibility, navigation, and integrated bridge systems to the United States Navy and Coast Guard shipbuilding programs and is based in Sewell, NJ. Gryphon Technologies operates as an engineering and technical services company that provides support to the U.S. security and coalition forces and is based in Washington, D.C. Lauletta Birnbaum, LLC served as legal advisor to PGFM.
7/10/2019 Kellstrom Defense Aerospace, Inc. acquired TAVCO Inc. The terms of the transaction were not disclosed. TAVCO designs and manufactures pneumatic controls and pressure vessels for the aerospace and defense market and is based in Chatsworth, CA. Kellstrom distributes aircraft parts for operators, depots, and aircraft maintenance, repair, and overhaul centers worldwide and is based in El Segundo, CA. Russ, August & Kabat LLP served as legal advisor to Kellstrom.
7/10/2019 Tender Corporation acquired Bushwacker Backpack & Supply Inc., doing business as Counter Assault. The terms of the transaction were not disclosed. Counter Assault manufactures bear spray, personal protection spray, pepper spray products, and accessories for law enforcement/military customers and is based in Kalispell, MT. Tender Corporation develops, manufactures, and markets a line of insect repellents, bite treatments, and sunburn and windburn products in the United States and internationally and is based in Littleton, NH.
7/15/2019 First Aviation Services Inc. acquired Aviation Blade Services Inc. The terms of the transaction were not disclosed. Aviation Blade Services provides helicopter rotor blade repair, overhaul, and modification services and is based in Kissimmee, FL. First Aviation Services, through its subsidiaries, provides repair and overhaul, rotables management, and related engineering services to the aviation industry worldwide and is based in Westport, CT.
7/24/2019 Honeywell International Inc. (NYSE:HON) acquired TruTrak Flight Systems, Inc. The terms of the transaction were not disclosed. TruTrak Flight Systems designs and manufactures digital and standard autopilots for experimental and light sport aircraft and is based in Springdale, AR.
8/7/2019 Avon Rubber p.l.c. (LSE:AVON) agreed to acquire the Advanced Ballistic-Protection Business of 3M Company (NYSE:MMM) for $116.0 million. The Advanced Ballistic Protection Business of 3M comprises ballistic helmets, body armor, flat armor, and related helmet-attachment products serving government and law enforcement and is based in the United States. Avon Rubber designs, manufactures, and sells chemical, biological, radiological, and nuclear respiratory protection systems for military, law enforcement, and fire markets worldwide and is based in Melksham, United Kingdom.
8/9/2019 Pattonair Limited agreed to acquire Wesco Aircraft Holdings Inc. (NYSE:WAIR) for $1.9 billion. Wesco distributes aerospace products and provides supply chain management services to the aerospace industry in North America and internationally and is based in Valencia, CA. Pattonair provides supply chain solutions for aerospace and defense industries and is based in Derby, United Kingdom. Latham & Watkins LLP is serving as legal advisor to Wesco. Hughes Hubbard & Reed LLP and Willkie Farr & Gallagher LLP are serving as legal advisors to Pattonair.
9/3/2019 The Aleut Corporation acquired Strata-G Solutions, Inc. The terms of the transaction were not disclosed. Strata-G engineers, manufactures and integrates rotary and fixed wing aircraft response systems and unmanned aerial systems and is based in Huntsville, AL. Aleut, along with its subsidiaries, provides services in the areas of government contracting, telecommunications, environmental remediation, fuel sales, and real estate management and is based in Anchorage, AK.
9/4/2019 Sev1Tech, Inc. acquired Engineering Solutions and Products, LLC. The terms of the transaction were not disclosed. Engineering Solutions and Products provides logistics and project management solutions and is based in Chantilly, VA. Sev1Tech provides information technology, engineering, and program management consulting services and is based in Woodbridge, VA.
9/4/2019 AMETEK, Inc. (NYSE:AME) acquired Pacific Design Technologies, Inc. for $125.0 million. Pacific Design Technologies designs and manufactures liquid cooling systems and components for commercial aerospace, defense, and space platforms and is based in Goleta, CA. AMETEK manufactures and sells electronic instruments and electromechanical devices worldwide and is based in Berwyn, PA.
9/5/2019 Precision Aviation Group, Inc. acquired Momentum Services Corporation. The terms of the transaction were not disclosed. Momentum Services develops and provides global repair and service solutions for commercial and military aviation crystal displays of all sizes and is based in Camarillo, CA. Precision Aviation, through its subsidiaries, operates repair stations that provide inventory supported maintenance, repair, and overhaul and is based in Atlanta, GA.
9/9/2019 Saturn Satellite Networks, Inc. agreed to acquire Novawurks, Inc. The terms of the transaction were not disclosed. Novawurks designs and develops modular satellites and spacecraft that host payloads and is based in Los Alamitos, CA. Saturn Satellite engages in design, program management, manufacturing, and delivery of the disruptive mini geostationary satellites and is based in Englewood, CO.
9/10/2019 dB Control Corp. acquired TTT-Cubed, Inc. The terms of the transaction were not disclosed. TTT-Cubed manufactures and designs RF sources, detectors, and controllers for aerospace and defense applications and is based in Fremont, CA. dB Control designs and manufactures high-power traveling wave tube amplifiers, microwave power modules, radar transmitters, high- and low-voltage power supplies, modulators, and custom assemblies for radar, electronic countermeasure, communication, and instrumentation applications and is based in Fremont, CA.
9/12/2019 Universal Technology Corporation agreed to acquire Advanced Core Concepts, LLC. The terms of the transaction were not disclosed. Advanced Core Concepts provides engineering and technical support, logistics, sustainment, acquisition support, foreign military sales support, and information technology solutions to defense and civilian government markets and is based in Warner Robins, GA. Universal Technology provides engineering, scientific, and program management support services to defense and commercial customers and is based in Dayton, OH.
9/16/2019 Parker-Hannifin Corporation (NYSE:PH) acquired Exotic Metals Forming Company, LLC for $1.7 billion. Exotic Metals engineers, manufactures, and provides aftermarket support services for vital systems and components of aerospace industries and is based in Kent, WA. Parker-Hannifin manufactures and sells motion and control technologies and systems for various mobile, industrial, and aerospace markets worldwide and is based in Cleveland, OH. Perkins Coie LLP served as legal advisor to Exotic Metals. Jones Day served as legal advisor to Parker-Hannifin.
9/18/2019 HDT Global, Inc. acquired Berg Companies, Inc. The terms of the transaction were not disclosed. Berg manufactures shelters, generators, heaters, and air filtration devices for remote sites and is based in Spokane, WA. HDT engineers, designs, and manufactures shelters, generators, heaters, air filtration devices, robotics, and other engineered technologies and is based in Solon, OH.
9/23/2019 Mercury Systems, Inc. (NasdaqGS:MRCY) acquired American Panel Corporation for $100.0 million. American Panel manufactures display products for military vehicles and commercial aircraft and is based in Alpharetta, GA. Mercury Systems provides sensor and safety critical mission processing subsystems for various critical aerospace, commercial aviation, defense, and intelligence programs and is based in Andover, MA.
9/24/2019 SGS SA (SWX:SGSN) acquired an unknown majority stake in ARGUS International, Inc. The terms of the transaction were not disclosed. ARGUS provides market research and consulting services to the aviation industry and is based in Cincinnati, OH. SGS provides inspection, verification, testing, certification, and quality assurance services and is based in Geneva, Switzerland.
9/26/2019 Westinghouse Electric Company LLC agreed to acquire the North America Civil Nuclear Systems and Services businesses from Rolls-Royce Holdings plc (LSE:RR.). The terms of the transaction were not disclosed. The North America Civil Nuclear Systems and Services Businesses of Rolls-Royce Holdings comprises aero engines manufacturing and after sales services business and is based in the United States. Weil, Gotshal & Manges LLP is serving as legal advisor to Westinghouse Electric.
M&A – Financial
7/8/2019 ATL Partners, British Columbia Investment Management Corporation and existing management of Valence Surface Technologies, Inc. acquired Valence Surface Technologies, Inc. from Trive Capital. The terms of the transaction were not disclosed. Valence operates as an independent metal finishing company that serves aviation, defense, and space industries and is headquartered in The Woodlands, TX. ATL Partners is a private equity firm based in New York, NY. British Columbia Investment Management is a privately owned investment manager based in Victoria, British Columbia. Trive Capital is a private equity firm based in Dallas, TX. Weil, Gotshal & Manges LLP served as legal advisor to ATL Partners and British Columbia Investment Management.
7/30/2019 CVC Capital Partners agreed to acquire Ontic Engineering and Manufacturing, Inc. for $1.4 billion. Ontic designs, manufactures, and delivers OEM-pedigree parts and accessories for legacy aerospace platforms and is based in Chatsworth, CA. CVC is a private equity firm based in London, United Kingdom. Alston & Bird LLP and Freshfields Bruckhaus Deringer LLP are serving as legal advisors to CVC.
8/1/2019 Staple Street Capital LLC and Thompson Capital Partners acquired Precise Metal Products Co. The terms of the transaction were not disclosed. Precise Metal provides precision sheet metal welding, aluminum dip brazing, high temperature bonding, and composite manufacturing services and is based in Phoenix, AZ. Staple Street is a private equity firm based in New York, NY. Thompson Capital is a principal investment firm based in Scottsdale, AZ.
8/21/2019 AE Industrial Partners acquired a majority stake in Columbia Helicopters, LLC. The terms of the transaction were not disclosed. Columbia Helicopters designs, manufactures, and operates commercial heavy-lift helicopters and is based in Aurora, OR. AE Industrial is a private equity firm based in Boca Raton, FL. Tonkon Torp LLP served as legal advisor to Columbia Helicopters. Kirkland & Ellis LLP served as legal advisor to AE Industrial.
9/9/2019 Susquehanna Private Capital, LLC acquired an unknown majority stake in McNally Industries, LLC. The terms of the transaction were not disclosed. McNally engages in designing, manufacturing, and testing hydro-mechanical and electro-mechanical systems, and precision machined components and is based in Grantsburg, WI. Susquehanna Private Capital is the private equity arm of Susquehanna International Group and is based in Bala Cynwyd, PA. Morgan, Lewis & Bockius LLP served as legal advisor to Susquehanna.
9/23/2019 Greenbriar Equity Group agreed to acquire Arotech Corporation (NasdaqGM:ARTX) for $106.4 million. Arotech provides defense and security products worldwide and is based in Ann Arbor, MI. Greenbriar is a private equity firm based in Rye, NY. Lowenstein Sandler LLP served as legal advisor to Arotech. Kirkland & Ellis LLP served as legal advisor to Greenbriar.
Private Placements
7/4/2019 Planet Labs, Inc. announced that it has received an undisclosed Series D investment from EDBI. The investment brings Planet Labs' total funds raised to over $400.0 million. Planet Labs is a space and analytics company that provides information about the changing planet and is based in San Francisco, CA. EDBI is a private equity and venture capital arm of Singapore Economic Development Board and is based in Singapore.
7/9/2019 Aireon LLC announced that it has raised $33.6 million in a round of funding from existing investor Irish Aviation Authority. Aireon designs, develops, and deploys space-based global air traffic surveillance systems for commercial aviation companies and air navigation service providers and is based in McLean, VA. Irish Aviation Authority manages Irish controlled airspace, safety regulation of Irish civil aviation, and oversight of civil aviation security in Ireland and is based in Dublin, Ireland.
7/15/2019 AEVEX Aerospace announced that it will receive $160.0 million in its recapitalization round of funding led by Bain Capital Credit. AEVEX provides airborne intelligence solutions to the U.S. special operations community and broader U.S. Department of Defense customers, and their foreign partners and is based in Solana Beach, CA. Bain Capital Credit is a global credit specialist based in the United States.
7/15/2019 Karem Aircraft, Inc. announced that it has received $25.0 million in its Series A round of funding from Hanwha Systems Co., Ltd. and other investors. Karem operates as a developer and manufacturer of aircraft components and equipment and is based in Lake Forest, CA. Hanwha Systems provides defense products and technologies in South Korea and is based in Seoul, South Korea.
7/22/2019 ABL Space Systems Company announced that it has received a round of funding from Lockheed Martin Ventures. ABL Space Systems designs and manufactures rockets and is based in El Segundo, CA.
8/9/2019 Shield AI Inc. announced that it has received $22.2 million in funding from Silicon Valley Bank, Inc., Riot Ventures, and other investors. Shield AI is an artificial intelligence robotics company which builds products for the national security sector and first responders and is based in San Diego, CA. Riot Ventures is a venture capital firm based in Boston, MA. Silicon Valley Bank provides commercial, international, and private banking services and is based in Santa Clara, CA.
9/3/2019 Skydweller Aero Inc. announced that it will receive $32.0 million in funding. As of September 11, 2019, the company received $10.7 million in its first tranche from 30 investors. Skydweller Aero operates as an unmanned flight company and is based in Alexandria, VA.
9/10/2019 World View Enterprises Inc. announced that it will receive $10.0 million in funding. As of September 24, 2019, the company received $7.5 million in its first tranche from 5 investors. World View provides space travel services to individuals for research, educational, and scientific pursuits and is based in Tucson, AZ.
9/10/2019 Raptor Scientific announced that it will receive $60.0 million in a round of funding from returning investor L Squared Capital Partners. Raptor Scientific, through its subsidiaries, manufactures measurement and testing systems for the aerospace and defense industry and is based in Berlin, CT. L Squared is a private equity firm based in Newport Beach, CA. Vedder Price P.C. is serving as legal advisor to L Squared.
9/17/2019 Ursa Space Systems Inc. announced that it will receive $12.6 million in funding from 17 investors. Ursa Space Systems provides geospatial services and is based in Ithaca, NY.
9/17/2019 WhiteFox Defense Technologies, Inc. announced that it has received $12.0 million in its Series A round of funding from Moore Venture Partners, SaaS Venture Capital and other investors. WhiteFox Defense is a counter-drone airspace defense and security company that develops drone airspace security solutions to manage drones in sensitive airspace worldwide and is based in San Luis Obispo, CA. Moore Venture Partners is a venture capital firm based in Carlsbad, CA. SaaS Venture Capital is a venture capital firm based in Washington, D.C.
9/26/2019 Relativity Space, Inc. announced that it will receive $140.0 million in funding from Bond, Tribe Capital, and other investors. Relativity Space manufactures orbital rockets and is based in Inglewood, CA. Bond is a global technology investment firm based in San Francisco, CA. Tribe Capital is a venture capital firm based in Menlo Park, CA.