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Arcline Investment Management, a growth-oriented private equity firm, announced it has entered into a definitive agreement to acquire Fort Worth-based Novaria Group in an all-cash transaction valued at approximately $2.2 billion, according to a press release.
The transaction is subject to customary closing conditions and regulatory approvals.
Founded in 2011 by CEO Bryan Perkins, privately-owned Novaria, with backing by KKR since 2020, is a leading provider of engineered aerospace components and specialty processes serving more than 3,000 customers worldwide. Its niche products can be found on nearly every Boeing and Airbus commercial aircraft in service.
Novaria has more than tripled in size over the past five years, completing 13 strategic add-on acquisitions that broadened its product portfolio and enhanced its manufacturing footprint.
“Novaria has a proven track record of identifying, acquiring and growing niche aerospace product businesses that share a common culture rooted in innovation and customer service,” Arcline company officials said in a statement. “We’re excited to partner with Bryan and the entire Novaria team to continue executing this strategy.”
Sterlington advised the management team of Novaria. Executive Compensation partner Jeremy L. Goldstein and M&A partner Christopher S. Harrison led the Sterlington team, with support from partners Kristy Fields, Michael Gilligan, and Robert Kantowitz as well as associate Stefania Olmos.
Guggenheim Securities served as financial adviser, and Ropes & Gray LLP and Paul Hastings LLP served as legal advisers to Arcline.
“Novaria is committed to building an enduring, trusted partner to the global aerospace industry," Perkins said. "Arcline’s deep aerospace experience and growth mentality align perfectly with our long-term vision for Novaria.”
Arcline Investment Management oversees more than $20 billion in assets under management and focuses on building market-leading, non-disruptible industrial platforms. It is headquartered in Nashville, with offices in New York and San Francisco.
Editor's Note: This story has been updated with details about Sterlington's role in the transaction.