Argosy Private Equity is an investor in Ranger AeroSystems, a platform launched in August by Ranger Aerospace and Azalea Capital to make investments and acquisitions in the aerospace sector. Ranger AeroSystems made its first investment in an undisclosed company serving the commercial airline fleet.
GREENVILLE, S.C., Dec. 11, 2014 /PRNewswire/ — Ranger Aerospace LLC, a private equity consolidator specializing in aerospace operations and aviation services, has added Argosy Private Equity to its newest platform for pursuing investments and acquisitions in the aerospace industry. The lead institutional investor in Ranger’s latest venture is Azalea Capital (announced earlier). This group seeks accelerated growth in acquired companies through a collaborative partnership with proven management teams. This marks thethird time that Ranger and Argosy have affiliated in the past dozen years. Argosy was a major investor in Ranger’s previous successes with both Keystone Helicopter and Ranger International.
The teammates have formed a new holding company called Ranger AeroSystems for these pursuits, and the first new investment was accomplished in November 2014. That first majority investment is in a components overhaul and retrofit company serving the commercial airlines fleets. Ranger has historically teamed with multiple Private Equity groups in its largest past ventures, bringing on more capital as each enterprise evolved. Multi-company consolidations are a proven investment method in the aerospace industry, including Ranger’s own past build-ups.
These highly experienced organizations are focused on lower middle market aerospace segments such as: Precision Manufacturing; Component Overhaul; and Specialty “Niche” Technical Services/MRO. Preferred investments include: $10 million minimum revenues, scalable operations, and Management seeking a like-minded partner from the aerospace industry with strong financial backers. Smaller companies will be considered as add-ons to existing Ranger operations. Other segments will be considered if there is a viable consolidation strategy.
Steve Townes, Ranger Aerospace CEO and founder, said “It’s a privilege to have major investors like Argosy join us multiple times—that speaks volumes. Azalea and Argosy are great teammates with Ranger. This consortium of proven experts aims to create a large and lasting enterprise. With two substantial institutional co-investors, we now have plenty of capital and plenty of time for building a strong platform. We’ve done this before—we’re doing it again.”
Ranger Aerospace since early 1997 has sparked hundreds of millions of dollars in buying, selling, and investing transactions as management stewards. Ranger adds value by bringing accomplished teams to bear on operational improvements and accelerated growth. Ranger focuses heavily on operations, marketing, quality, and people, with a “Good to Great” incremental approach to business transformations. Previous large-scale successes built to substantial critical mass by Ranger Aerospace include Aircraft Service International Group, Inc. (“ASIG”), Keystone Helicopter, and Ranger International. Each has since grown to even larger scale. Ranger’s ventures have employed up to 4,250 employees, with operations at as many as 56 airfields and operating sites in North America, Latin America, Europe, Middle East, and Pacific. The holding company practices strict vigilance on Quality—Safety—F.A.R. Compliance, with a quality-centered management style. Ranger’s effectiveness has manifested in award-winning quality, aggressive growth, and superior IRR returns in “realized” investments. Ranger has won national financial awards such as “Deal of the Year” and “Deal of the Decade” from prestigious publications. Visit www.rangeraerospace.com.
Argosy Capital, founded in 1990 and with approximately $750 million in assets under management, actively pursues a mission to generate outstanding returns in the lower middle market. The results from more than 50 successful portfolio company exits, across four private equity funds, have been remarkably consistent over time and through varied market conditions. Argosy’s strategy is to source and invest in businesses, often family owned or corporate orphans, with the potential to substantially grow revenues and profits. Argosy invests with experienced, entrepreneurial management teams and operating partners. Argosy’s focus is on creating value with its business partners by investing in inefficient markets where creativity, hard work, and disciplined risk taking can generate exceptional returns for the benefit of all stakeholders. For over 20 years, Argosy has successfully partnered with over 100 management teams to build and grow their manufacturing and business services companies. The affiliation with Ranger Aerospace is through Argosy Capital’s latest SBIC-supported private equity fund, which was capitalized with a target of $250 million. Visit www.argosycapital.com.
Azalea Capital, the lead investment group behind this new Ranger enterprise, is a private equity firm headquartered in Greenville, SC. Azalea invests in lower-middle market companies with revenues of $10 million to $100 million to facilitate management buyouts, business recapitalizations, and growth plans. Azalea’s focus industries are Manufacturing, Business Services, and Value-added Distribution, with a special interest in Aerospace, Consumer Packaged Goods, Healthcare, and Energy & Industrial Services. Azalea’s investment strategy is to partner with proven management teams to execute and accelerate growth plans. Azalea’s private equity professionals, advisory board, and investor base, which predominantly consist of CEOs and former CEOs, bring a wealth of knowledge and experience in building businesses and shareholder value across a diverse spectrum of industries. Visit www.azaleacapital.com.
SOURCE Ranger Aerospace LLC