Arlington Adds to Cadence Aerospace
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Arlington Adds to Cadence Aerospace

Cadence Aerospace, a portfolio company of Arlington Capital Partners since November 2017, has acquired Perfekta.

Perfekta is a provider of large monolithic structures (bulkheads, spars, beams, and trunnions); precision-machined hard metal and aluminum components; machined forgings; and structural assemblies to OEMs and Tier 1 suppliers in the aerospace, defense, and space end-markets. The company, led by President Julian Guerra II, was founded in 1984 and has a 142,000 square foot facility and headquarters in Wichita, KS (www.perfekta-inc.com).

“The partnership with Cadence will allow us to further execute on our growth strategy, which is locked-in through long-term agreements,” said Mr. Guerra. “In addition to supporting our aggressive capital investment plans for 2018 and 2019, this partnership will allow us to serve our customers on a larger scale by leveraging Cadence’s six other manufacturing locations in the United States and Mexico.”

Cadence Aerospace 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, led by CEO Thomas Hutton, has operations in California, Arizona, Washington, Massachusetts and Mexico and is headquartered in Anaheim, CA (www.cadenceaerospace.com).

“The acquisition of Perfekta continues to build upon our investment thesis for Cadence by further expanding our unique and vertically integrated capabilities in large and complex precision machined aerospace components,” said Peter Manos, a Managing Partner at Arlington Capital. “In addition, Perfekta’s strategic location in Wichita, a geography that is home to some of the aerospace industry’s most important players, will bring Cadence closer to its shared customer base.”

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).

“The acquisition of Perfekta creates significant synergies for both businesses through cross-selling opportunities, knowledge transfer, and access to a broader set of production capabilities and manufacturing footprint,” said Bilal Noor, a Vice President at Arlington Capital.

Houlihan Lokey was the financial advisor to Perfekta. SunTrust Robinson Humphrey advised Arlington Capital Partners and Cadence Aerospace.

© 2018 Private Equity Professional | July 9, 2018

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