Dynamic Precision Group, which is backed by The Carlyle Group, has agreed to buy eight aerospace component fabrication and machining facilities from Unison Engine Components, a subsidiary of GE Aviation. The deal is expected to close by the end of the year. Financial terms weren’t disclosed. The eight plants, located on three sites in the U.S., Canada and the UK, design, make and integrate components and systems for aircraft engines and airframes. RBC Capital Markets and Deutsche Bank are providing financing.
WASHINGTON–(BUSINESS WIRE)–Global alternative asset manager The Carlyle Group (NASDAQ: CG) today announced that its portfolio company Dynamic Precision Group has signed an agreement to acquire eight aerospace component fabrication and machining facilities located on three sites in the U.S., Canada and the UK, which design, manufacture and integrate components and systems for aircraft engines and airframes from Unison Engine Components, a subsidiary of GE Aviation. The transaction is expected to close by year end and terms were not disclosed.
The acquired facilities provide precision manufacturing capabilities for commercial, military and gas turbine engine components to a blue-chip customer base worldwide. The sites, which employ 825 people, are located in Manchester, CT; Burnley, Lancashire, UK; and Orillia, Ontario, Canada.
Greg Bennett, President and CEO of Dynamic Precision Group, said, “We are excited about the addition of these assets and the strong employee base and technical know-how they bring to Dynamic Precision Group. This acquisition will enable us to expand our capabilities and better serve our customers.”
Adam Palmer, Managing Director and Head of Carlyle’s Global Aerospace, Defense and Government Services team, said, “We are impressed with the diverse capabilities and product portfolio these businesses will add to Dynamic Precision Group. This transaction will substantially contribute to our goal of building a well-capitalized, highly capable supplier to the aero engine market.”
Dynamic Precision Group, based in Stuart, FL, is an independent manufacturer of complex components, specializing in the combustion, or “hot section,” of turbine engines used in commercial and military aviation as well as industrial gas turbine applications.
Acquisition financing was led by RBC Capital Markets and Deutsche Bank. Dynamic Precision Group and Carlyle were advised by Latham & Watkins and PricewaterhouseCoopers.
Dynamic Precision Group is a portfolio company of Carlyle Partners V, Carlyle Equity Opportunity Fund, Carlyle Strategic Partners II, AeroEquity Partners and other co-investors.
About The Carlyle Group
The Carlyle Group (NASDAQ: CG) is a global alternative asset manager with approximately $180 billion of assets under management in 118 active funds and 81 fund of fund vehicles as of June 30, 2013. Carlyle invests across four segments – Corporate Private Equity, Real Assets, Global Market Strategies and Fund of Funds Solutions – in Africa, Asia, Australia, Europe, the Middle East, North America and South America. Carlyle has developed expertise in various industries, including: aerospace, defense & government services, consumer & retail, energy, financial services, healthcare, industrial, technology & business services, telecommunications & media and transportation. The Carlyle Group employs more than 1,400 people in 34 offices across six continents.
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About Dynamic Precision Group
Dynamic Precision Group (“DPG”) is a portfolio company of The Carlyle Group and AeroEquity. DPG is a global leader in the manufacture of complex machined and fabricated assemblies for the Aerospace, Defense and Power Generation markets. DPG acquired TurboCombuster Technology in 2011, which specializes in the production of critical aircraft engine components, and Paradigm Precision in 2013, which specializes in the manufacturing of complex, high-tolerance machined and fabricated components for gas turbine engines. DPG’s core capabilities include laser services, air flow measurement, thermal coatings, electrical discharge machining, precision machining and TCT Blast™.