CLEVELAND, March 1, 2021 /PRNewswire/ -- TransDigm
Group Incorporated (NYSE: TDG), a leading global designer, producer
and supplier of highly engineered aircraft components, announced
today it has entered into a definitive agreement to sell its
ScioTeq and TREALITY Simulation Visual Systems businesses
(collectively, "the businesses") to OpenGate Capital in a
transaction valued at approximately $200
million.
ScioTeq and TREALITY were acquired by TransDigm in March 2019 as part of the Esterline Technologies
acquisition. The businesses develop and manufacture advanced
visualization solutions primarily for the global defense, air
traffic control, and security end markets. ScioTeq and TREALITY
have approximately 450 employees and operate primarily from
Belgium, with secondary locations
in the United States. The businesses generated revenues of
approximately $135 million for the
fiscal year ended September 30,
2020.
W. Nicholas Howley, Executive
Chairmen commented, "As previously communicated, we have been
considering potentially divesting a few primarily defense, former
Esterline businesses that do not align well with TransDigm's
strategy. As such, we are pleased to have an agreement for the
divestiture of the ScioTeq and TREALITY businesses. These are well
established businesses in the defense industry, and we are
confident that their customers will continue to be well-served as
we work toward a successful completion of the transaction."
The divestiture, which is subject to regulatory approvals and
customary closing conditions, is expected to be completed during
the third quarter of our fiscal 2021.
About TransDigm Group
TransDigm Group, through its wholly-owned subsidiaries, is a
leading global designer, producer and supplier of highly engineered
aircraft components for use on nearly all commercial and military
aircraft in service today. Major product offerings, substantially
all of which are ultimately provided to end-users in the aerospace
industry, include mechanical/electro-mechanical actuators and
controls, ignition systems and engine technology, specialized pumps
and valves, power conditioning devices, specialized AC/DC electric
motors and generators, batteries and chargers, engineered latching
and locking devices, engineered rods, engineered connectors and
elastomer sealing solutions, databus and power controls, cockpit
security components and systems, specialized and advanced cockpit
displays, aircraft audio systems, specialized lavatory components,
seat belts and safety restraints, engineered and customized
interior surfaces and related components, advanced sensor products,
switches and relay panels, thermal protection and insulation,
lighting and control technology, parachutes, high performance
hoists, winches and lifting devices, and cargo loading, handling
and delivery systems.
Forward-Looking Statements
Statements in this press release that are not historical facts
are forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Words such as "believe,"
"may," "will," "should," "expect," "intend," "plan," "predict,"
"anticipate," "estimate," or "continue" and other words and terms
of similar meaning may identify forward-looking statements. All
forward-looking statements involve risks and uncertainties that
could cause TransDigm Group's actual results to differ materially
from those expressed or implied in any forward-looking statements
made by, or on behalf of, TransDigm Group. These risks and
uncertainties include but are not limited to: the impact that the
COVID-19 pandemic has on the TransDigm Group's business, results of
operations, financial condition and liquidity; the sensitivity of
TransDigm Group's business to the number of flight hours that its
customers' planes spend aloft and its customers' profitability,
both of which are affected by general economic conditions; future
geopolitical or other worldwide events; cyber-security threats and
natural disasters; TransDigm Group's reliance on certain customers;
the U.S. defense budget and risks associated with being a
government supplier including government audits and investigations;
failure to maintain government or industry approvals; failure to
complete or successfully integrate acquisitions; TransDigm Group's
indebtedness; potential environmental liabilities; liabilities
arising in connection with litigation; increases in raw material
costs, taxes and labor costs that cannot be recovered in product
pricing; risks and costs associated with TransDigm Group's
international sales and operations; and other risk factors. Further
information regarding the important factors that could cause actual
results to differ materially from projected results can be found in
TransDigm Group's Annual Report on Form 10-K for the fiscal year
ended September 30, 2020 and other
reports that TransDigm Group or its subsidiaries have filed with
the Securities and Exchange Commission. Except as required by law,
TransDigm Group undertakes no obligation to revise or update the
forward-looking statements contained in this press release.
Contact:
Investor Relations
(216) 706-2945
ir@transdigm.com
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