Arlington Capital Partners has acquired Cadence Aerospace from Court Square Capital Partners.
Cadence Aerospace was acquired by Court Square in May 2012 and is a supplier of components, subassemblies and assemblies to manufacturers of aircraft, aerostructures, aeroequipment, engine, and other commercial aerospace and defense platforms. The company has specific capabilities with difficult-to-machine geometries, hard metal alloys, and very large aerostructures.
Customers of Cadence are major OEMs and Tier 1 suppliers and include Boeing, Airbus, Northrop Grumman, Fokker, Lockheed Martin, United Technologies, FACC, Honeywell and Spirit. Cadence has operations in California, Arizona, Washington, Massachusetts and Mexico and is headquartered in Anaheim, CA (www.cadenceaerospace.com).
“Cadence’s robust set of manufacturing capabilities, customer relationships and favorable exposure to key growth platforms collectively present a compelling investment opportunity,” said Peter Manos, a Managing Partner at Arlington Capital. “Cadence stands to benefit from supply chain consolidation given its unique scale and capabilities as customers look to larger, more established industry players to drive manufacturing efficiencies, quality, and design innovation.”
Arlington invests in buyouts and recapitalizations of companies valued from $50 million to $500 million. Sectors of interest include government services and technology; aerospace and defense; healthcare; and business services and software. Arlington is investing out of its fourth fund which closed in July 2016 with $700 million of capital. The firm is based in Chevy Chase, MD (www.arlingtoncap.com).
“We are excited to partner with Arlington, a private equity firm with a successful history in the aerospace sector, to capitalize on the multitude of opportunities available to the company in our current end markets,” said Ron Case, CEO of Cadence. “Through a growth strategy that includes both organic capital investments and acquisitions, we are focused on creating value for our customers and employees alike.”
Court Square, the seller of Cadence, invests in middle market companies that are active in the business services, general industrials, healthcare, and technology/telecommunications sectors. Court Square is based in New York (www.courtsquare.com).
Lazard was the financial advisor to Cadence on this transaction.
© 2017 Private Equity Professional | November 17, 2017
