TransDigm to Acquire Data Device Corp. for $1 Billion

TransDigm Group Inc. agreed to acquire the parent of defense firm Data Device Corp. from Behrman Capital for $1 billion in cash.

In 2003, the private-equity firm partnered with the chief executive of ILC Industries -- parent of Data Device -- in a deal valued at $303 million deal. Part of ILC was spun off in 2011.

Data Device supplies data-networking, power-control and motion-control products as well as software for the aerospace, defense and industrial industries. The company expects to generate revenue of more than $200 million this year, with roughly 75% from the defense market and the remainder from the commercial aerospace market.

Aircraft-parts maker TransDigm recently reported quarterly results that beat expectations as commercial-aftermarket sales improved sharply and margins strengthened. The Cleveland company at the time also raised its guidance for its fiscal year ending in September.

The deal is expected to close by the end of the third quarter.

Behrman targets investments in aerospace and defense, health care services and specialty manufacturing and distribution.

Write to Tess Stynes at [e-mail]

(END) Dow Jones Newswires

May 24, 2016 09:35 ET (13:35 GMT)

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