Alcoa Inc. reports it will pay $240 million for TransDigm Group Inc.’s aerospace fastener business, and will consolidate it with its own Alcoa Fastening Systems business unit. Alcoa expects the transaction to be completed within the first quart of 2011, pending regulatory reviews and approvals.
TransDigm Group Inc. is a designer, producer, and supplier of engineered aircraft components. It acquired the aerospace fastener business as part of its December 2010 takeover of McKechnie Aerospace. W. Nicholas Howley, TransDigm Group's chairman and CEO said the three plants it is selling constitute a “high-quality, well-established aerospace fastener business (that) fit much better with Alcoa's product portfolio and ongoing strategy than with TransDigm's. We are confident that our customers will be well served."
The three plants are Valley-Todeco Inc. in Sylmar, Calif., and Linread Ltd., in Redditch and Leicester, England. They have a total employment of 400, which Alcoa said would not change. They produce a range of high-strength, high-temperature nickel alloy specialty engine fasteners, airframe bolts, and slotted entry bearings.
“This acquisition is an important step for Alcoa Fastening Systems (AFS),” stated Alcoa Fastening System president Vitaliy Rusakov. “It is a part of our strategic plan to accelerate the growth of our business, add efficiencies, broaden our technology base and expand our product offering to better serve our customers and increase shareholder value.”
Alcoa Fastening Systems designs and manufactures specialty fastening systems, components, and installation tools for aerospace and industrial applications. It has more than 5,500 employees at 29 locations in 10 countries. According to Rusakov, the TransDigm fastener business brings “a strong portfolio of complementary products and is well known in the aerospace industry for producing highly engineered precision fastening solutions used for critical airframe, engine and equipment applications.”