H-D Advanced Manufacturing Company has acquired Precision Aero, a maker of high-precision machined aircraft components.
Precision Aero was founded in 1962 and primarily serves the aircraft (both commercial and military) and commercial vehicle markets. Products include fusible plugs, washers, adjuster balls, bushings, spacers and pistons, among other components. Fusible plugs – the company’s flagship product – are thermal pressure relief devices used in wheel and brake assemblies on virtually all commercial aircraft. Precision Aero is headquartered west of Columbus in Troy, OH (www.precisionaero.com).
H-D Advanced Manufacturing was formed in December 2012 by a partnership among The Riverside Company, Hicks Equity Partners and Weinberg Capital Group to acquire and develop manufacturers of mission-critical, precision engineered components. Precision Aero is the third aerospace company acquired by H-D, joining Sungear and Crown Precision, and the seventh acquisition since H-D was formed. Precision Aero will join Overton Chicago Gear, Sungear and Crown Precision in H-D’s precision machining division. H-D is based in Pittsburgh and is led by Chris DiSantis, CEO, and Dale Mikus, CFO.
H-D continues to seek add-on acquisition opportunities in highly engineered, critical components, including energy related consumable products used in drilling or production related applications, precision engineered components in aerospace and electromechanical components.
According to Riverside Principal Rob Langley the addition of Precision Aero will bring benefits to both H-D and Precision Aero. “Precision Aero brings a blue chip customer base, strong technical capabilities and lots of attractive opportunities for growth,” said Mr. Langley. “This addition fits perfectly with our strategy of combining companies with a passion for producing highly engineered, critical components.”
Working with Mr. Langley on the transaction for Riverside were Partner Tim Gosline and Associate Philip Furbay. Principal, Origination Scott Gilbertson sourced the opportunity and Partner Anne Hayes worked on financing the transaction for the firm.
The Riverside Company is a global private equity firm focused on investing in and acquiring growing businesses valued at up to $300 million (€200 million in Europe). Since its founding in 1988, Riverside has invested in more than 380 transactions. The firm’s international portfolio includes more than 70 companies. Riverside is headquartered in New York with additional offices in Atlanta, Chicago, Cleveland, Dallas, Los Angeles, San Francisco, and London (www.riversidecompany.com).
Hicks Equity Partners is the private equity arm for Hicks Holdings, a holding company for the Thomas O. Hicks family’s assets. The firm invests in established companies with enterprise values of less than $200 million. Hicks Equity Partners is based in Dallas (no website found).
Weinberg Capital Group is a family office that specializes in acquiring middle-market companies that are based in North America and have annual revenues from $15 million to $100 million and EBITDA ranging from $2 million to $10 million. Sectors of interest include manufacturing, business services, medical and healthcare, aviation services, consumer products, and value-added distribution. Weinberg Capital Group is based in Cleveland (www.weinbergcap.com).
Investment bank Amherst Partners (www.amherst.com) was the exclusive financial advisor to Precision Aero in connection with the transaction.
2015 PEPD • Private Equity’s Leading News Magazine • 5-20-15
