Triumph Group Announces Update on Divestiture Progress
BERWYN, Pa.--(BUSINESS WIRE)--May 14, 2018--Triumph Group, Inc. (NYSE:TGI) announced today that it has reached agreements for divestiture of three businesses in alignment with the company’s transformation strategy to reshape its portfolio to focus on businesses that best fit the strategic direction of the company. The businesses generated revenues of approximately $165 million in Triumph Group’s fiscal year ended March 31, 2018.
On May 11, 2018 Triumph Group signed a definitive agreement to sell Triumph Aerospace Structures Long and Large (L&L) machining and metal finishing operations to Aerospace Systems and Structures LLC, a California specialty aerospace investment firm, and Valence Surface Technologies LLC, a leading aerospace product finishing company, backed by Trive Capital, a $2 billion private equity firm with experience in the aerospace industry.
The sale of L&L consists of Triumph Structures – Los Angeles, Inc. (TSLA) and Triumph Processing, Inc. (TPI), together employing approximately 400 people in the Los Angeles area. TSLA consists of four locations and specializes in manufacturing and assembly of large structural components including stringers, spars, chords, landing gear assemblies, and beams up to 180 feet in length. TPI, located in Lynwood, CA, is an aerospace specialty processing business offering non-destructive testing, chemical processing, and paint services to the global aerospace industry, differentiated by its state of the art facilities and large part processing line with tanks over 100 feet in length. The transaction is subject to customary closing conditions.
On May 3, Triumph Group signed a definitive agreement to sell the assets of the APU Repair Product Line (RPL) of Triumph Aviation Services Asia, Ltd. (TASA) to TurbineAero Repair LTD. RPL is based in Chonburi, Thailand, employs approximately 20 people, and provides repair services for APU component parts. The transaction is subject to customary closing conditions.
On March 28, Triumph Group sold Triumph Structures – Long Island, LLC to Aero Structures Long Island, Inc. Structures – Long Island is located in Westbury, NY, employs approximately 90 people, and machines, finishes and assembles bulkheads, floors, frames, bell cranks and other small metallic components.
“With the announcement of these three transactions with strategic buyers, Triumph continues to execute on its transformation plan, divesting non-core businesses to enable debt reduction and reinvestment in new areas of opportunity,” said Triumph Group President and CEO, Dan Crowley. “I am confident that the new owners will be responsible stewards of these businesses and accelerate their performance as part of more specialized enterprises.”
Seale & Associates acted as exclusive financial advisor to Triumph on the L&L and RPL transactions. Stradley Ronon Stevens & Young, LLP served as Triumph’s legal advisor on the L&L and Structures – Long Island transactions, while Ballard Spahr LLP served as the legal advisor for the RPL transaction.
Triumph Group, Inc., headquartered in Berwyn, Pennsylvania, designs, engineers, manufactures, repairs and overhauls a broad portfolio of aircraft structures, components, accessories, subassemblies and systems. The company serves a broad, worldwide spectrum of the aviation industry, including original equipment manufacturers of commercial, regional, business and military aircraft and aircraft components, as well as commercial and regional airlines and air cargo carriers. More information about Triumph can be found on the company’s website at http://www.triumphgroup.com.
View source version on businesswire.com:https://www.businesswire.com/news/home/20180514006428/en/
CONTACT: Triumph Group, Inc.
Michele Long, 610-251-1000
Senior Director – Communications
Sheila G. Spagnolo, 610-251-1000
Vice President – Tax & Investor Relations
KEYWORD: UNITED STATES NORTH AMERICA PENNSYLVANIA
INDUSTRY KEYWORD: TRANSPORT AIR MANUFACTURING AEROSPACE CHEMICALS/PLASTICS ENGINEERING STEEL DEFENSE OTHER DEFENSE
SOURCE: Triumph Group, Inc.
Copyright Business Wire 2018.
PUB: 05/14/2018 05:30 PM/DISC: 05/14/2018 05:30 PM