30 November 2018
ARC Technologies, founded in 1988,
is a privately-owned manufacturer
with about 170 employees
working at two locations
in Amesbury, Massachusetts.
The company has a wide range of capabilities
for producing RF / EMI and microwave absorbing materials
and specializes in combining absorptive metallic filler compounds
– including carbon, iron and nickel-coated graphite –
with a proprietary blend of polymer resins
to generate various matrix materials
including structural composites and thermoplastics.
DETAILS
Hexcel Corporation (NYSE:HXL) announced today that
it has entered into a definitive agreement
to acquire ARC Technologies, Inc.,
a leading supplier of custom RF / EMI
and microwave absorbing composite materials
for military, aerospace and industrial applications.
The acquisition strengthens Hexcel’s
existing advanced materials portfolio
in structural composites and thermoplastics
and provides new opportunities
for growth and market penetration.
ARC Technologies is expected to generate
about $50 million in revenue in 2018.
The agreed-upon
* purchase price is $160 million,
which represents
* a multiple of 11.9 times
2018 expected adjusted EBITDA.
The transaction is expected to be accretive
to Hexcel’s earnings in 2019
and is subject to customary commercial
and regulatory conditions and approvals.
It is expected to close early in 2019.
Hexcel Chairman,
CEO and President
Nick Stanage
“ARC Technologies is a leader in materials science
with talented people and a culture
that is a strong fit with ours.
This acquisition will combine
two great research and technology teams
to further develop next-generation products
for both commercial and military aerospace
and defense applications.
Both companies are committed to maintaining
strong customer relationships
focused on innovative solutions
so we will be well positioned
to grow and enhance the business.”
ARC Technologies Founder & CEO
Daniel P. Healey, III
“This acquisition represents a major step
in strengthening our capabilities
in RF absorbing materials,
thermoplastic products and specialty composites.
Hexcel has a well-known industry reputation
for producing high-performance structural materials,
so the acquisition will improve our ability
to offer the next generation of
aerospace materials and advanced composites
to our customers.
Knowing Hexcel’s corporate credibility and culture,
I’m confident that the acquisition
will benefit both companies
and all of our employees.”
Contact Information
Kaye Veazey
|Vice President – Corporate & Marketing Communications |
203-352-0339 |
Kaye.Veazey@hexcel.com
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