Riverside Lands Another Add-On For H-D Advanced Manufacturing May 11, 2015
Third Maker of Aerospace Components Joins H-D
H-D Advanced Manufacturing Company (H-D), a manufacturer of highly engineered, mission-critical components, has acquired Precision Aero Corporation (Precision Aero). Precision Aero manufactures high-precision machined products that are mostly used in the aerospace industry. Precision Aero is the third aerospace company acquired by H-D, joining Sungear and Crown Precision, and the seventh acquisition since H-D was formed in December 2012 by a partnership between The Riverside Company, Hicks Equity Partners and Weinberg Capital Group.
Based in Troy, Ohio, Precision Aero was founded in 1962 and is a market leader in machined products for aerospace wheel and brake assemblies. H-D will seek to extend Precision Aero’s products and technology into other aircraft components and industrial end-markets such as commercial trucks. Tom Marchant, Vice President of Operations, will continue to lead Precision Aero under H-D’s ownership.
Precision Aero is H-D’s seventh acquisition in the 29 months since H-D’s inception and will join Overton Chicago Gear, Sungear and Crown Precision in H-D’s precision components division. Precision Aero Corporation General Manager Tom Marchant will continue to lead Sungear within H-D.
“Precision Aero shares similarities with Crown Precision and Sungear, two of H-D’s existing aerospace businesses,” said H-D CEO Chris DiSantis. “All three companies provide high-quality products and deliver exceptional customer service to the world’s leading aerospace companies. We see opportunity for significant cross-selling that should benefit all three businesses and their respective customer bases.”
Precision Aero owner Tim Smith is excited about the next chapter for the company.
“After over 50 years of family ownership, it was important to me to find the right home for Precision Aero. H-D is that home,” Smith said. “They share our commitment to producing extremely high-quality products and exceeding customer expectations. I am excited to watch Precision Aero thrive with the addition of H-D’s strong financial, operational and business development resources and reach new heights for our customers and employees.”
The addition of Precision Aero will bring benefits to both H-D and Precision Aero, said Riverside Principal Rob Langley.
“Precision Aero brings a blue chip customer base, strong technical capabilities and lots of attractive opportunities for growth,” said Langley. “This addition fits perfectly with our strategy of combining companies with a passion for producing highly engineered, critical components. H-D will provide Precision Aero with access to resources that will enable the company to serve its customers even better.”
Precision Aero will join Overton Chicago Gear, Sungear and Crown Precision in H-D’s precision machining division. H-D Advanced Manufacturing continues to seek add-on acquisition opportunities in highly engineered, critical components, including energy related consumable products used in drilling or production related applications, precision engineered components in aerospace and electromechanical components.
Working with Langley on the transaction for Riverside were Partner Tim Gosline and Associate Philip Furbay. Principal, Origination Scott Gilbertson sourced the opportunity and Partner Anne Hayes worked on financing the transaction for the firm.
Jones Day advised Riverside on the investment.
About The Riverside Company
The Riverside Company is a global private equity firm focused on acquiring and investing in growing businesses valued at up to $300 million. Since its founding in 1988, Riverside has invested in more than 380 transactions. The firm’s international portfolio includes more than 75 companies.