Saughter and May is advising Senior plc (“Senior”), an international manufacturer of high technology components and systems, on the sale of its aerostructures business (“Aerostructures”) to Sullivan Street Partners. Aerostructures manufactures precision-machined airframe and aero engine components and complex assemblies for commercial aerospace, defence and space applications and consists of five operating businesses across seven sites located in Southern California, the Pacific Northwest, the UK, Thailand and Malaysia.
The transaction reflects Senior’s stated strategy to position Senior as a market leading pure play fluid conveyance and thermal management business and values Aerostructures at an enterprise value of up to £200m on a debt-free cash-free basis, which represents 13.1x 2024 EBITDA. The total enterprise value consists of initial consideration of £150m, subject to customary completion accounts adjustments. Additional earn-out consideration of up to a maximum £50m is also payable contingent upon the achievement of a target EBITDA threshold by Aerostructures in the period from 1 January 2025 to 31 December 2025.
The transaction is subject to certain conditions, including receipt of certain customary regulatory approvals.
Henry Grandage / Trainee