A&D Weekly News & Transactions - Week 23

Industry Headline News

GKN Aerospace is doubling F-35 canopy production at its Garden Grove, California, sit, jobs, with a $150 million investment in new tools and equipment
Jun. 10, 2024 - The expansion will support the increased demand for the F-35 Lightning II, ensuring advanced canopy technology for the next decade. (Aero Mag)

Saudia Group is in talks with Boeing and Airbus to order new wide-body aircraft, aiming to expand beyond its recent acquisition of 105 Airbus A320neo family aircraft
Jun. 7, 2024 - The group needs 180 new single-aisle planes but, due to limited Airbus production slots, is considering Boeing 787 and Airbus A330 jets instead. Specific allocations between Saudia and Flyadeal for these wide-bodies have not been disclosed yet. (AeroTime)

Daniel Gittsovich has been appointed as the vice president of investor relations and corporate development at L3Harris Technologies
Jun. 6, 2024 - Previously, Gittsovich served as VP of corporate strategy and development at L3Harris and held various leadership roles at 3M. His career includes extensive experience in finance, strategy, and M&A at Northwest Airlines, Bentley Associates, Bank of America Merrill Lynch, and Deutsche Bank. (GovCon Wire)

French jet engine maker Safran received Italy's clearance to buy Microtecnica, which holds Collins Aerospace's flight control assets in the country
Jun. 6, 2024 - Italy had initially blocked the $1.8 billion deal over concerns about national security and logistics. Safran addressed these concerns with commitments and still needs additional clearances to complete the acquisition. (Yahoo!Finance)

Spirit AeroSystems CFO Mark Suchinski is departing amid cash flow struggled and merger talks with Boeing, and will be replaced by board member Irene Esteves
Jun. 5, 2024 - The company reported a quarterly net loss of $617 million and significant cash burn. Boeing's acquisition discussions have stalled due to complex negotiations with Airbus, Spirit's second-largest customer. (Reuters)

Airbus is negotiating the sale of over 100 A33neo jets to Chinese airlines, marking a significant potential deal
Jun. 4, 2024 - Airbus's expectation of China's aviation traffic growing by 5.3% annually. The deal also reflects a shift in Chinese jet purchases, historically split between Airbus and Boeing, with recent trends favoring Airbus amid U.S.-China tensions. (Reuters)

Turkish Airlines is in early talks with Boeing to potentially order up to 250 aircraft, including 737 MAXs snd 787 Dreamliners
Jun. 4, 2024 - Chairman Ahmet Bolat revealed at the IATA AGM, noting the strategic move aims to mitigate risks by diversifying between Boeing and Airbus. The airline aims to expand its fleet to over 800 aircraft in the next decade, up from its current 455. (AeroTime Hub)

Weekly Transaction Review

No.	Parties Involved	Transaction Metrics			Location	Segment
	Target [Parent] Acquirer [Parent]	Price ($M)	Price/ Revenue	Price/ EBITDA	Target	Target
1	Ultra Electronics Energy [Advent International] Curtiss-Wright	$200.0	3.1x	-	Greenford, United Kingdom	Test & Measurement
2	CyberCore Technologies [NexPhase Capital] HP	-	-	-	Elkridge, MD	Government Services, IT Services and Software
3	Mindpoint Tyto Athene [Arlington Capital]	-	-	-	Alexandria, VA	Cybersecurity, Intelligence Services and Homeland Defense
4	Xwing Joby Aviation	-	-	-	Concord, CA	Unmanned Vehicles
5	Sunvair [Blue Sea Capital] Greenbriar Equity	-	-	-	Valencia, CA	MRO & Logistics
6	Manufacturing Operations of Clayens [One Equity Partners] Pexco [Odyssey Investment]	-	-	-	Wallingford, CT	Machined & Cast Parts
7	Ametherm Vishay Intertechnology	$31.5	-	-	Carson City, NV	Defense Electronics

No.	Target Descriptions
1	Ultra Energy specializes in providing defense-in-depth to the nuclear industry. The business provides safety systems & critical sensors to protect reactor islands. It monitors and assesses the status of operating plants and implement multiple strategies to extend their operational life for a further 20+ years. It supplies a continuously monitored shield for personnel, key facilities and national boundaries.
2	CyberCore is a provider of IT services to private sector and U.S federal government aerospace, defense, and technology markets. CyberCore has expertise in cybersecurity, systems integration and secure supply chain management.
3	MindPoint is a provider of end-to-end managed cybersecurity services for private sector and U.S. federal government civil, financial, and judicial markets. The company's expertise includes cyber defense; governance, risk, and compliance; architecture and engineering; and proactive security services.
4	Xwing is a developer of autonomous flight software solutions for commercial flight of vertical takeoff and landing (VTOL) and fixed-wing aircraft in private sector and U.S. federal government aerospace and defense markets. The company's adaptable systems are designed to seamlessly integrate with a wide range of aircraft, providing the ability to safely operate ground-supervised, uncrewed aircraft in any airspace.
5	Sunvair is a provider of MRO services to private sector and U.S. federal government aerospace and defense markets. The company is a fully-certified FAA Repair Station which specializes in landing gear overhaul and component repair services for commercial and military aircraft.
6	The Manufacturing Operations of Clayens specialize in high-performance plastic CNC machining, milling, multi-axis turning, swiss machining, annealing, vapor polishing, and assembly solutions.
7	Ametherm specializes in precision thermistors for inrush current limiters and temperature sensing that come in various sizes, forms and packages to meet the demands of the automotive, industrial, aerospace/defense and medical markets.