Summary
TransDigm Group Incorporated (TDG) announced on November 8, 2011, its agreement to acquire Harco Laboratories, Incorporated for approximately $84 million in cash. This strategic acquisition is expected to enhance TransDigm's portfolio of proprietary, highly engineered components for the commercial aircraft sector. The deal is subject to standard closing conditions, including review under the Hart-Scott-Rodino Act, and is anticipated to be completed in the first quarter of fiscal year 2012. Investors should view this as a move to further consolidate TransDigm's position in the aerospace components market, potentially leading to synergistic benefits and expanded product offerings in the commercial aviation segment.
Key Highlights
- 1Definitive agreement signed to acquire Harco Laboratories, Inc. for approximately $84 million in cash.
- 2Harco manufactures proprietary, highly engineered components for major commercial aircraft.
- 3Acquisition is expected to close in the first quarter of fiscal year 2012.
- 4The transaction is subject to customary closing conditions, including Hart-Scott-Rodino Act review.
- 5This acquisition aligns with TransDigm's strategy of acquiring businesses with proprietary products and significant aftermarket potential.
- 6The press release announcing the agreement is attached as Exhibit 99.1.