Esterline Corp. [ESL] said this week it has agreed to acquire specialized fastener producer NMC Group for $90 million, in a deal that will extend its product offering to include advanced fastener capabilities used in aerospace and defense.
California-based NMC designs and produces specialized plastic and composite-adhesive-bonded fasteners. The company also makes a variety of other aviations products including aerospace clamps, grommets, bushings and wire routing devices.
NMC’s products are on a number of Boeing [BA] commercial aircraft, including the new 787 Dreamliner, and the Airbus A350 and A380 planes.
“Nylon Molding fits perfectly within our Advanced Materials segment, extending our product offering to include specialized plastic and composite-adhesive-bonded fasteners,” Robert Cremin, Esterline’s CEO, said in a statement. “The transaction also continues our strategy to consolidate manufacturers of superior aerospace systems and components.”
The deal is expected to close next month pending receipt of regulatory approval and other closing conditions. NMC, which has 100 employees, will run as a stand alone operation. Houlihan Lokey is NMC’s financial adviser on the transaction. According to the investment bank, NMC’s fasteners are in high demand by the aerospace industry for their light weight, high strength-to-weight rations, corrosion resistance, proven durability and relative affordability.