TransDigm completes acquisition of aerospace business of Pexco

TransDigm Group Incorporated completed the acquisition of the assets of the aerospace business of Pexco (“Pexco Aerospace”), a portfolio company of Odyssey Investment Partners, for approximately US$496m in cash. The acquisition was previously announced on April 30th, 2015. Pexco Aerospace is a global leader in the manufacturing of extruded plastic interior parts for use in the commercial aerospace industry. The business employs approximately 300 people in two locations in Yakima, Washington and Huntington Beach, California. The purchase price includes approximately US$160m of tax benefits to be realized by TransDigm over a 15 year period beginning in 2015. The Company also reported that its wholly-owned subsidiary, TransDigm Inc., received the funding of an additional incremental term loan of US$1.04bn at a current rate of 3.5% and that it has successfully completed the previously announced private offering of US$450m aggregate principal amount of 6.500% senior subordinated notes due 2025 (the “Notes”). The proceeds were used to partially fund the acquisition of Pexco Aerospace, to repay US$490m of previously outstanding term loans under its existing senior secured credit facility, amounts previously drawn under its revolving credit facilities and for general corporate purposes.