The Gores Group Announces Definitive Agreement to Acquire Triumph Air Repair, the APU Overhaul Operations of Triumph Aviation...
December 07 2016 - 5:20PM
Business Wire
Triumph Group, Inc. (NYSE:TGI) and Gores Small
Capitalization Partners, an affiliate of The Gores Group announced
today the definitive agreement to acquire Triumph Air Repair, the
Auxiliary Power Unit (APU) Overhaul Operations of Triumph Aviation
Services – Asia, Ltd. and Triumph Engines - Tempe. The transaction
is subject to customary closing conditions and is expected to close
in early 2017. The combined businesses generated revenues of
approximately $81 million in Triumph Group’s fiscal year ended
March 31, 2016.
Triumph Air Repair and the APU Overhaul Operations of Triumph
Aviation Services – Asia are the world’s leading independent
aerospace component maintenance, repair, and overhaul service
providers focused on APUs and related products. The businesses
provide military, commercial, and regional airline customers with a
comprehensive maintenance solution for their legacy and new APU
engine models. The combined entity provides global coverage from
two modern facilities located in Chandler, Arizona, and Chonburi,
Thailand.
Triumph Engines is a niche provider of hot-section component
manufacturing and repair services for original equipment
manufacturers, aircraft operators, and repair and overhaul
providers. The business is a one-stop shop offering extensive and
unique capabilities, including complex machining, engineering,
inspection, non-destructive testing, and thermal coatings. Triumph
Engines is headquartered in Tempe, Arizona.
“We are very excited to start this new chapter with Triumph’s
Engines and APU businesses,” said Jon Gimbel, Managing Director of
The Gores Group. “The combined company will continue to provide its
customers with high quality service and unparalleled technical
expertise. This acquisition creates a strong global platform, and
we look forward to partnering with management to help position the
business as a standalone entity and accelerate its growth, both
organically and through acquisitions.”
The acquired company will retain its management, technical and
supporting staff, and will continue operations at its current
facilities in Arizona and Thailand. It is expected that full
integration of the companies will be completed in 2017.
Earlier this year, Triumph Group President and CEO, Dan Crowley,
announced a transformation plan that includes divesting non-core
businesses to enable reinvestment and position the company for
long-term success.
“With the sale of Triumph Air Repair, the APU Overhaul
Operations of Triumph Aviation Services – Asia, and Triumph Engines
– Tempe, Triumph continues to execute on our timeline in support of
our transformation,” said Crowley. “I am confident that The Gores
Group will be responsible stewards for the business and accelerate
the growth as a more focused operation.”
Seale & Associates acted as exclusive financial advisor to
Triumph on the transaction.
About The Gores Group:
The Gores Group, founded in 1987 by Alec Gores, is a global
investment firm focused on acquiring controlling interests in
mature and growing businesses which can benefit from the firm’s
operating experience and flexible capital base. The firm combines
the operational expertise and detailed due diligence capabilities
of a strategic buyer with the seasoned M&A team of a
traditional financial buyer. Over its 30 year history, The Gores
Group has become a leading investor, having demonstrated a reliable
track record of creating value in its portfolio companies alongside
management. Headquartered in Los Angeles, The Gores Group maintains
offices in Boulder, Colorado, and London. For more information,
please visit www.gores.com.
About Triumph Group:
Triumph Group, Inc., headquartered in Berwyn, Pennsylvania,
designs, engineers, manufactures, repairs and overhauls a broad
portfolio of aircraft structures, components, accessories,
subassemblies and systems. The company serves a broad, worldwide
spectrum of the aviation industry, including original equipment
manufacturers of commercial, regional, business and military
aircraft and aircraft components, as well as commercial and
regional airlines and air cargo carriers.
More information about Triumph Group can be found on the
company’s website at http://www.triumphgroup.com.
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version on businesswire.com: http://www.businesswire.com/news/home/20161207006354/en/
For more information on The Gores Group, please
contact:Jennifer Kwon Chou, 310-209-3010Managing
Directorjchou@gores.comorSitrick and CompanyTerry Fahn,
310-788-2850terry_fahn@sitrick.comorFor more information on
Triumph Group, please contact:Media Contact:Michele Long,
610-251-1000mmlong@triumphgroup.comorInvestor Relations
Contact:Sheila G. Spagnolo,
610-251-1000sspagnolo@triumphgroup.com
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