Kellstrom Defense purchases military aircraft parts maker WAM

9 January 2019 (Last Updated January 9th, 2019 12:22)

US-based Kellstrom Defense Aerospace (KDA) has acquired Williams Aerospace and Manufacturing (WAM), a military aircraft spare parts and ground support equipment manufacturer.

US-based Kellstrom Defense Aerospace (KDA) has acquired Williams Aerospace and Manufacturing (WAM), a military aircraft spare parts and ground support equipment manufacturer.

Financial details of the transaction have not been disclosed by the companies.

However, KDA noted that the total global sales of the combined companies are expected to exceed $160m for this calendar year.

Based in San Diego County, California, US, WAM has been a Lockheed Martin Hologram Product Program licensee since 1987.

As part a long-term agreement, WAM is a licensee for the P-3 and C-130 and produces parts for the C-5, F-16 and other US original equipment manufacturer (OEM) defence platforms.

“We expect to rapidly integrate the Williams Aerospace and Manufacturing business while investing in product development to expand our solution set for military aircraft sustainment.”

According to the company, KDA Engineered Products operating segment will benefit with the addition of WAM’s manufacturing capabilities.

Following the completion of the deal, WAM will still retain its brand identity in the market.

KDA CEO Chris Celtruda said: “The addition of Williams Aerospace and Manufacturing to our group of companies adds a significant breadth of capability that supports our strategic growth plans and the needs of our global customer base. We expect to rapidly integrate the Williams Aerospace and Manufacturing business while investing in product development to expand our solution set for military aircraft sustainment.”

WAM co-owners William Cary and Shane Nonthavet said: “Joining the KDA team offers the right solution for us to continue to be engaged with our employees and customers while creating new opportunities for future growth.”

PNC Mezzanine Capital and Barings have served as financial backers for KDA while Blue Torch Capital acted as lead arranger for the senior debt financing.

Houlihan Lokey served as KDA’s financial adviser and placement agent for the transaction.