Summary
TransDigm Group Inc. (TDG) announced a significant acquisition on December 16, 2008, purchasing Aircraft Parts Corporation (APC) from a subsidiary of GE Aircraft Engines for approximately $68 million in cash. APC specializes in designing and manufacturing critical components for turbine engines, including starter generators and generator control units. This acquisition expands TransDigm's product portfolio within the aerospace sector. In connection with this acquisition, TransDigm also executed a Sixth Supplemental Indenture to its existing Indenture, bringing APC under its guarantee. Additionally, APC entered into a Joinder Agreement to TransDigm's Credit Agreement and a Supplement No. 6 to the Guarantee and Collateral Agreement, effectively guaranteeing TransDigm's outstanding indebtedness under these agreements and pledging its assets as security. These financial arrangements highlight the integration of APC into TransDigm's existing debt structure.
Key Highlights
- 1Acquisition of Aircraft Parts Corporation (APC) for approximately $68 million cash.
- 2APC designs and manufactures starter generators, generator control units, and related components for turbine engines.
- 3The acquisition was completed on December 16, 2008.
- 4APC has been added as a guarantor to TransDigm's existing Indenture through a Sixth Supplemental Indenture.
- 5APC has also become a guarantor and loan party under TransDigm's Credit Agreement via a Joinder Agreement.
- 6APC's assets have been pledged as collateral to secure TransDigm's obligations under the Credit Agreement through Supplement No. 6 to the Guarantee and Collateral Agreement.