L3 Crestview Aerospace, a manufacturer of aircraft components with operations in Florida and Chihuahua, Mexico, is set to be sold to New York-based investment firm American Industrial Partners as part of a US$ 540 million cash deal.
According to its parent company L3 Technologies, in the pending deal, American Industrial Partners will acquire two of its divisions — Vertex Aerospace (which includes L3 Crestview Aerospace) and TCS. Vertex Aerospace provides aviation logistics and aircraft maintenance, repair and overhaul services. TCS provides engineering services and logistics support.
L3 Technologies is a global aerospace and national security company with 2017 sales of US$ 9.6 billion that employs approximately 31,000 people worldwide.
“We’re pleased with this divestiture process,” said in a statement Chris Kubasik, L3 Technologies president and CEO. “This is a strategic step toward optimizing L3′s portfolio. We will use the proceeds from the sale to invest in the continued growth of L3, consistent with our capital allocation strategy and plans.”
As MexicoNow previously reported, L3 Technologies announced late last year that some of its segments were up for sale, including the Chihuahua facility, as part of the company’s shift in focus toward “more profitable businesses.”
The Mexican plant is a low-cost production site for sheet metal and machined parts for commercial aircraft structures.
The facility provides significant cost and schedule benefits with its on-site metal finishing, processing and paint services for a true “One-Stop-Shop” for all manufacturing and finishing needs.
The fabrication equipment at the Chihuahua plant includes shears, saws, water jet and CNC cutting tools for cutting raw material, brake presses, roll formers and hydroforming machines for metal forming operations, 3 axis CNC milling machines and other specialized equipment and tools.
The facility produces parts and assemblies made of different materials such as aluminum, mild steel, titanium, stainless steel, brass, copper and inconel.