Triumph Group signs deal with Toronto’s General Donlee Canada
Aug. 16, 2013, Berwyn, Pa. - Triumph Group, Inc. today announced the signing of a definitive agreement to acquire General Donlee Canada Inc. (GDI.TO), a leading manufacturer of flight critical complex machined components.
By Carey Fredericks
Triumph will pay a total of approximately $110 million in cash to acquire General Donlee's outstanding equity and retire its existing debt. The transaction is subject to customary closing conditions, including the approval of the General Donlee shareholders, and is expected to be completed in the third quarter of fiscal year 2014. The acquired business will be included in the Aerospace Systems Group. The business is expected to add approximately $60.0 million in annual revenue and to be immediately accretive to earnings.
Based in Toronto, Canada, General Donlee is a leading manufacturer of precision machined products for the aerospace, nuclear and oil and gas industries. With approximately 200 employees, the company's primary product lines include engine shafts, thrust links, rotorcraft masts and landing gear applications. Key customers include GE Aviation and Bell Helicopter.
Jeffry D. Frisby, Triumph's president/CEO, said, "The acquisition of General Donlee will add a strong position in engine and main rotor shafts to our product capabilities. The proprietary manufacturing methods and technological know-how of the workforce positions the company well as the preferred supplier on many of its products. In addition, the acquisition will enhance our ties to existing customers as well as further diversifying our customer base. We are pleased that the management team will remain at Triumph to continue to deliver exceptional value to their customers."