Sikorsky to buy Poland's PZL-Mielec
Acquisition UTC-owned Sikorsky has reached an agreement in principle to acquire Polish helicopter manufacturer PZL-Mielec. Last September the company signed a strategic memorandum of understanding, under which it would make Mielec, which has over 1,500 staff, the international assembly centre for Black Hawk helicopters as well as helicopter components. Financial terms of the deal were not disclosed, but Sikorsky is to fund factory and tooling upgrades as part of it.
Souriau looks to USA with PAE acquisition
Takeover Connector manufacturer Souriau is to acquire the US operations of Pacific Aerospace & Electronics (PAE), which has an annual turnover of around $21 million. Souriau, which is owned by French private equity company Sagard, says it expects to complete the purchase of the manufacturer of hermetic connectors, ceramic and metal components and assemblies and advanced microelectronic packages, by March.
Eaton pursues growth with AT purchase
Acquisition California-based manufacturer Eaton is buying AT Holdings, the parent of aerospace fuel system maker Argo-Tech, for $695 million. Eaton, which in March unveiled an aggressive expansion plan for its aerospace unit, expects the deal to close in the first quarter of 2007, subject to regulatory approvals and other closing conditions. Eaton chairman and chief executive Alexander Cutler says: "Argo-Tech will strengthen our aerospace operations by providing Eaton with a total fuel system capability, attractive aftermarket opportunities and an increased portfolio and customer base." Eaton entered the fuel system business in 2005 with the purchase Cobham Aerospace's fluid and air division.
NWAA launches funding boost for SMEs
Support The UK's North West Aerospace Alliance (NWAA) is set to launch its biggest-ever assistance scheme for its members, with the allocation of £2.6 million ($5 million) from the Northwest Regional Development Agency (NWDA). The four-year programme to improve the competitiveness of tier two aerospace suppliers will allow the association's Aerospace Supply Chain Excellence programme to enter "a new and more dynamic phase", the NWAA says. The funding will allow it to introduce industry "mentors" to companies participating in the scheme and hold supply chain workshops. The association is also expecting a decision soon on a further £1.6 million of funding from the NWDA to help develop advanced skills and leadership in the sector. "Significantly, the amount contributed by the NWDA will be matched by in-kind contributions from within the industry so this really is the shot in the arm we need to accelerate the programme and achieve results," says NWAA executive director Martin Wright.
LMI Aerospace boosts acquisition firepower
Strategy US-based structural components and assemblies manufacturer LMI Aerospace will have up to $75 million in cash to use for acquisitions following the completion of new loan and real estate sale-and-leaseback agreements. The company has also renegotiated a credit agreement with Wells Fargo Bank that increases its borrowing capacity to $40 million from $23 million while lowering interest payments. The newly available funding will "provide us with $70 million to $75 million of cash that can be used to pursue strategic acquisitions and finance anticipated revenue growth", says LMI president and chief executive Ronald Saks.
Source: Flight International
