A&D Weekly News & Transactions - Week 32

Industry Headline News

Honeywell Aerospace Shares Tank as Forecast Cut Leaves It 'Starting Behind the Curve'
Aug. 6, 2026 - Honeywell Aerospace shares fell as much as 26% after supply-chain issues led the company to lower its 2026 sales growth forecast to 4%-5% from 7%-9%. The company also expects adjusted earnings per share of $7.60-$7.90, below analysts’ $8.86 estimate, while second-quarter profit fell 32% to $1.87 per share. Supply constraints are limiting production and forcing Honeywell Aerospace to prioritize deliveries to Boeing and Airbus over its higher-margin aftermarket business. (Reuters)

Report Outlines Issues Delaying Boeing’s VC-25B
Aug. 5, 2026 - A new Pentagon report identifies several risks contributing to delays in Boeing’s VC-25B program, including slow interior design work, windshield shortages and passenger window defects. The report also notes that remaining structural repairs and a tight testing schedule could create additional delays, although the Air Force still expects the first aircraft to be delivered in 2028. The Air Force plans to keep the existing VC-25A fleet operational until the VC-25B aircraft can fully meet mission requirements. (Aviation Week)

Singapore Leverages F-16 Upgrade As F-35 Era Nears
Aug. 5, 2026 - Singapore is using upgraded F-16C/D fighters during Exercise Pitch Black, with new AESA radar and avionics improving their situational awareness and combat capabilities. The upgraded F-16s can use weapons including the Python 5 missile and JDAM precision-guided bombs, while also training with other aircraft in large-scale air combat exercises. Singapore is also using the exercise to prepare for the arrival of its first F-35B fighters later in 2026 by studying how to integrate fourth- and fifth-generation aircraft. (Aviation Week)

L3Harris Completes $845M Rocketdyne Transaction With AE Industrial Partners
Aug. 4, 2026 - L3Harris Technologies completed the sale of a majority stake in its commercial space propulsion, power and electronics businesses to AE Industrial Partners for $845 million, creating a standalone company operating under the Rocketdyne name. L3Harris will retain approximately 40% ownership of the new company, while its RS-25 rocket engine operations remain with L3Harris. The company plans to use proceeds from the sale to invest in manufacturing facilities and advanced technologies supporting its core defense and national security businesses. (CityBiz)

Weekly Transaction Review

No.	Parties Involved	Transaction Metrics			Location	Segment
	Target [Parent] Acquirer [Parent]	Price ($M)	Price/ Revenue	Price/ EBITDA	Target	Target
1	Tenica Global Solutions McNally Capital	-	-	-	Chantilly, VA	Cybersecurity, Intelligence Services and Homeland Defense
2	AerFin ORIX Aviation [ORIX]	-	-	-	Newport, United Kingdom	MRO & Logistics
3	Heartland Aviation SC Aviation	-	-	-	Eau Claire, WI	MRO & Logistics
4	Machine Tool Engineering Windings	-	-	-	Charles City, IA	Machined & Cast Parts
5	Steampunk MetroStar Systems [Veritas Capital]	-	-	-	McLean, VA	Government Services, IT Services and Software
6	Central Wire Industries Altair Industries	-	-	-	Perris, CA	Machined & Cast Parts
7	Taylor Bros Marine Highwater [Arlington Capital]	-	-	-	Derwent Park, Australia	Navy/Maritime
8	Virtex [Insight Equity] NEOTech [Arkview Capital]	-	-	-	Austin, TX	Electronics Manufacturing (EMS) & Harnessing
9	Modern Instrument Company Industrial Control Solutions [LDR Partners]	-	-	-	Long Beach, CA	Test & Measurement
10	Ternion Precise Systems [Bluestone Investment]	-	-	-	Huntsville, AL	Simulation & Training Systems

No.	Target Descriptions
1	Tenica Global Solutions is a provider of integrated engineering, mission operations, cybersecurity, and digital modernization solutions for private sector and U.S. federal government defense, intelligence, and space exploration markets.
2	AerFin provides aviation aftermarket services focused on aircraft, engine, and component trading, leasing, repair management, and technical support. The company supports airlines, lessors, and MRO providers through material supply, inventory solutions, engine MRO support, and aircraft part-out services.
3	Heartland Aviation provides aircraft charter, management, maintenance, and related aviation services for business and general aviation customers. The company supports operators through aircraft management, Part 135 charter, and maintenance capabilities, with a fleet that includes Citation light jets.
4	Machine Tool Engineering provides precision machining services for aerospace, defense, industrial, energy, and advanced mobility applications. The company specializes in CNC turning, milling, grinding, and Swiss machining for mission-critical components requiring tight tolerances and consistent quality.
5	Steampunk is a technology consulting and digital transformation firm helping reshape how U.S. federal agencies procure, develop, and deploy modern software capabilities. The company combines cloud-native development, agile software engineering, artificial intelligence, human-centered design, and DevSecOps with federal mission expertise to modernize legacy government systems and accelerate digital service delivery.
6	Central Wire Industries manufactures specialty alloy wire and cable products for aerospace, defense, industrial, medical, and energy applications. The company produces fine and shaped wire, wire rope strands, and related engineered products using stainless steel, nickel alloys, and red metals for demanding, high-reliability applications.
7	Taylor Bros is a fourth-generation family-owned provider of end-to-end design, engineering, prefabrication, and installation for complex marine habitability modules across Australia.
8	VirTex is an electronics manufacturing services (EMS) provider specializing in low- to medium-volume, high-complexity printed circuit board assembly (PCBA), electromechanical integration, and system-level manufacturing for aerospace, defense, medical, industrial, and semiconductor markets. The company supports programs from new product introduction (NPI) through production and sustainment, providing a vertically integrated manufacturing environment designed for mission-critical electronic systems.
9	Modern Instrument Company provides temperature uniformity surveys, system accuracy testing, equipment validation, and ISO/IEC 17025-accredited calibration services for aerospace and industrial manufacturers. The company supports NADCAPregulated heat treatment operations with AMS 2750-compliant testing and traceable, audit-ready documentation.
10	Ternion Corporation develops commercial off-the-shelf and custom modeling, simulation, and training software for aerospace, defense, and transportation applications. The company’s FLAMES framework enables composable constructive and virtual simulations, live-virtual-constructive integration, experimentation, and decision-support for complex mission environments.