Triumph Group, the Pennsylvania-based manufacturer and supplier of commercial and military aircraft systems and components, has been privatized in a reported $3-billion acquisition by two private equity groups. Warburg Pincus and Berkshire Partners announced their purchase agreement earlier this year, stating then they aim to work “with Triumph's talented global team to increase opportunities for its portfolio and capture the growing demand for high-quality aerospace components.”
The company has been characterized as “underperforming” by market analysts, but the privatization is portrayed as a route to manage its debt and steer through market uncertainties, relying especially on sales to OEMs (e.g., to Boeing, Lockheed, Airbus, etc.) as well as the aftermarket in both commercial and military aerospace segments.
Along with those customers, Triumph Group counts fleet operators like Federal Express and UPS, and manufacturers like Sikorsky, Gulfstream, Bell, Northrop-Grumman, GE Aerospace, Rolls-Royce, and Pratt & Whitney.
Currently, Triumph produces components and systems for actuation, engine controls, gearboxes and accessory drive units, mechanical and thermal systems, and interior fittings. It also offers relevant MRO services for civil and military aircraft. Its five subsidiary businesses operate 28 plants in 12 states and seven countries.
“Triumph will continue to operate as an independent leading provider of mission-critical engineered systems and proprietary components for aerospace and defense companies across both OEM and aftermarket applications,” according to the buyers’ joint announcement.
The new owners installed Jorge L. Valladares III as chief executive officer, replacing Daniel J. Crowley.
Triumph Group was created in 1993 and grew by acquisition of various businesses supporting civilian and military aircraft development, production, repair, and service. It was long identified for its composites manufacturing and aerostructures business, but those assets were divested in 2020 and 2021, respectively.
