TransDigm Group Incorporated (TDG), a leading aircraft components manufacturer, has announced the completion of negotiations to acquire Stellant Systems, Inc., a portfolio company held by Arlington Capital Partners, in an all-cash transaction valued at approximately $960 million.
Stellant Systems, based in California, specializes in the design and production of high-power electronic components and subsystems serving the aerospace and defense sectors. The company maintains a strong market presence with projected revenues of around $300 million for the fiscal year ending December 31.
According to Mike Lisman, Chief Executive Officer of TransDigm, the strategic group buy demonstrates the company’s continued commitment to expanding its portfolio with high-quality assets. “This acquisition of Stellant aligns seamlessly with our established business model,” Lisman stated. “The company’s sophisticated, proprietary technologies produce substantial recurring aftermarket revenue streams, positioning this deal as an attractive investment that meets our long-term financial return benchmarks consistent with private equity-style performance metrics.”
The transaction reflects TransDigm’s strategic focus on acquiring businesses with differentiated technologies and strong aftermarket dynamics. Stellant’s position as a specialized supplier of engineered solutions in the aerospace and defense markets strengthens TransDigm’s competitive footprint in high-value segments with recurring revenue characteristics.
The acquisition represents another milestone in TransDigm’s ongoing strategy to consolidate aerospace supply chain assets through disciplined capital deployment.
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TransDigm Group Completes $960 Million Purchase of Stellant Systems Through Strategic Group Buy
TransDigm Group Incorporated (TDG), a leading aircraft components manufacturer, has announced the completion of negotiations to acquire Stellant Systems, Inc., a portfolio company held by Arlington Capital Partners, in an all-cash transaction valued at approximately $960 million.
Stellant Systems, based in California, specializes in the design and production of high-power electronic components and subsystems serving the aerospace and defense sectors. The company maintains a strong market presence with projected revenues of around $300 million for the fiscal year ending December 31.
According to Mike Lisman, Chief Executive Officer of TransDigm, the strategic group buy demonstrates the company’s continued commitment to expanding its portfolio with high-quality assets. “This acquisition of Stellant aligns seamlessly with our established business model,” Lisman stated. “The company’s sophisticated, proprietary technologies produce substantial recurring aftermarket revenue streams, positioning this deal as an attractive investment that meets our long-term financial return benchmarks consistent with private equity-style performance metrics.”
The transaction reflects TransDigm’s strategic focus on acquiring businesses with differentiated technologies and strong aftermarket dynamics. Stellant’s position as a specialized supplier of engineered solutions in the aerospace and defense markets strengthens TransDigm’s competitive footprint in high-value segments with recurring revenue characteristics.
The acquisition represents another milestone in TransDigm’s ongoing strategy to consolidate aerospace supply chain assets through disciplined capital deployment.