Fonds de solidarité FTQ, EDC back launch of Abipa International

Boisbriand, Quebec-based Abipa Canada and France's Arm Group have combined to create a single precision machining business called Abipa International.

Boisbriand, Quebec-based Abipa Canada and France’s Arm Group have combined to create a single precision machining business called Abipa International. No financial terms were disclosed for the deal, which saw Arm shareholders join Abipa shareholders in the capital of Abipa Canada, the parent company. Fonds de solidarité FTQ and Export Development Canada invested C$15 million in the transaction.

PRESS RELEASE

BOISBRIAND, QC and LA CHAUSSÉE D’IVRY, France, Nov. 5, 2021 /CNW Telbec/ – The Canadian company Abipa Canada Inc. and the French ARM Group announced today their strategic alliance, in the presence of Eric Girard, the Québec Minister of Finance and Member of the National Assembly for the division of Groulx. Under the banner “ABIPA International”, the new aeronautical group becomes a key player on an international scale in the sector of machining and assembly of sub-sets. This initiative will give both companies new development prospects through the creation of an international group of critical size, enabling them to ensure the development of their activities and maintain their expertise on their various sites.

This transaction is the outcome of a common vision shared by the two companies in their aim of pursuing their growth and diversification together, responding to significant market demand from major OEMs and equipment manufacturers to consolidate the supply chain. Financially strong and ranking among the most successful companies in the industry on either side of the Atlantic, Abipa Canada and ARM Group have complementary customer bases and products and participate in the leading aircraft programs.

The new group thus formed provides an ideal balance between two strong geographical areas in the global aeronautics sector, North America and Europe, as well as its strategic location in North Africa. It now has significant critical size, with turnover in excess of CAD 100M, which will enable it to continue its growth and development with its 400 employees and its industrial presence spread over six sites and three continents, in Canada, France and Morocco.

As part of this transaction, which closed on November 1, 2021, all Arm Group shareholders have joined Abipa shareholders in the capital of Abipa Canada, the parent company of the new group.

On this occasion, and to support the financial structure of the new group, the Fonds de solidarité FTQ, as well as Export Development Canada (EDC), are investing a total of CAD $15M in equity as part of a balanced capital structure with management. As a result of this transaction, the group’s main shareholders are now the Fonds de Solidarité FTQ, the Couillaud family, Jean Blondin, Ace Capital Partners, a subsidiary of Tikehau Capital, IRDI, and EDC.

Jean Blondin will continue to serve as President and Chief Executive Officer and Ludovic Couillaud will join Abipa Canada’s Executive Committee as Executive Vice-President and General Manager Europe and Morocco.

About Abipa Canada
Based in Boisbriand, Quebec, Canada, Abipa specializes in high-precision machining, mechanical assembly and kitting of specialized metal components (aluminum, titanium, inconel, steel) for aircraft engines, landing gear and structural parts. Its products are intended for its international customer base of major contractors and integrators. The company’s state-of-the-art CNC equipment consists of robotic multi-machine cells, multi-axis machining centres, lathes, mill-turns, laser cutting machines and a NADCAP-certified welding cell.