CLEVELAND, May 24, 2016 /PRNewswire/ -- TransDigm Group
Incorporated (NYSE: TDG) announced today a definitive agreement to
purchase ILC Holdings, Inc., the parent company of Data Device
Corporation ("DDC"), from Behrman Capital for a total purchase
price of $1.0 billion in cash.
DDC is a leading supplier of databus and power supply products for
the global military and commercial aerospace markets.
TransDigm expects to finance the acquisition through a combination
of cash on hand, existing availability under our revolving credit
facility and new debt.
DDC revenues are anticipated to be over $200 million for the fiscal year ending
December 2016 with approximately 75%
coming from the defense market and the remainder primarily from the
commercial transport market. Approximately 70% of revenue is
derived from the aftermarket, with nearly all of the revenue from
proprietary and sole source products. Approximately 45% of
revenue is derived from customers outside of the United
States.
DDC is a leading supplier of databus and power controls and
related products that are used primarily in military avionics,
commercial aerospace and space applications. The company's
core MIL-STD-1553 databus product
line has a large installed base of systems worldwide that spans
hundreds of unique military and commercial platforms.
Representative DDC platforms include military programs such as the
JSF, F-18, Eurofighter, C-130, A400M, F-15 and Apache, as well as
newer commercial platforms such as the 787, A350XWB, and 777X.
DDC's primary manufacturing facility is located in
Bohemia, New York with additional
facilities located in Mexico, the
United Kingdom, and
California. The business employs 650 employees in its various
locations worldwide.
"DDC has a strong presence across major military aircraft
platforms and a growing presence on commercial aircraft. This
is another sizable acquisition opportunity that meets our
strategic, operational and value-creation criteria," stated
W. Nicholas Howley, TransDigm's
Chairman and Chief Executive Officer. "The vast majority of DDC's
revenue comes from highly engineered, proprietary products with
substantial aftermarket content. We are pleased with the
opportunity to acquire a business of this size that has such an
outstanding reputation with its customers and where we see
opportunities for significant value creation."
The acquisition, which is expected to close before the end of
fiscal 2016, is subject to regulatory approvals and customary
closing conditions.
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, NiCad batteries and chargers, engineered
latching and locking devices, rods and locking devices, engineered
connectors and elastomers, cockpit security components and systems,
specialized cockpit displays, aircraft audio systems, specialized
lavatory components, seatbelts and safety restraints, engineered
interior surfaces and related components, lighting and control
technology, military personnel 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
which could affect TransDigm Group's actual results and could cause
its 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 failure to complete or successfully integrate the
acquisition; that the acquired business does not perform in
accordance with our expectations; and other factors. Further
information regarding 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 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:
Liza Sabol
Investor Relations
(216) 706-2945
ir@transdigm.com
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SOURCE TransDigm Group Incorporated