Deal Overview
- Lead advisory
- Advised on original acquisition by private equity backed MBO in 2012
- Sale to Main-listed plc
Momentum Corporate Finance has advised the management team of Aero Stanrew Group Limited (“Aero Stanrew”) on the sale to TT Electronics plc (“TT”), for a consideration of £42.2 million on a cash and debt free basis.
Headquartered in Barnstaple, Devon, Aero Stanrew is a leader in the design & production of electromagnetic components and electronic systems for harsh environments and safety critical applications. The business is primarily focused on the commercial aerospace and defence markets with sole-source positions on key growing platforms, providing good visibility of future revenues.
With the support of WestBridge Capital (“WestBridge”), management have developed all aspects of Aero Stanrew’s business, grown employee numbers by 50% and received many industry plaudits including the Queens Award for Enterprise. This has resulted in impressive financial performance, with Aero Stanrew forecast to deliver c.£18m sales in the current year.
In the year ended 28 February 2015, Aero Stanrew reported revenues of £16.5m and adjusted EBITDA of £3.2m. For the calendar year ending 31 December 2015, Aero Stanrew is expected to deliver revenues of £18.0m and adjusted EBITDA of £3.7m.
Momentum advised on the original management buyout of Aero Stanrew in January 2012, advising the management team whilst also negotiating commercial terms with the outgoing vendors and arranging funding for the deal. Private equity was provided by WestBridge with HSBC providing structured debt facilities. The MBO was led by the Managing Director, Clive Scott, and his management team.
