A Veritas Capital affiliate has bought Chromalloy parent company Sequa from Carlyle (Nasdaq: CG) in a move aimed at expanding the New York-based technology investor’s portfolio with aftermarket services for aviation, energy and defense customers.
In a statement published Tuesday, Ramzi Musallam, CEO and managing partner of Veritas, highlighted Chromalloy’s position in the engine aftermarket and attributed it to the Florida-based company’s engineering capabilities, value proposition and highly technical workforce.
“We are excited to welcome Chromalloy to the Veritas portfolio and partner with the Chromalloy team to continue delivering critical engine technology and solutions to customers around the world,” the seven-time Wash100 Award recipient added.
Chromalloy provides repair and other aftermarket services for jet engine parts in the industrial and gas turbine sector and the military market.
Brian Costa, CEO of Chromalloy, looks to build on Veritas’ commercial and military aerospace market experience to drive its next phase of growth.
“The transaction marks an exciting new chapter for Chromalloy and provides an opportunity to build upon our differentiated capability set and continue investing in proprietary LifeX solutions to drive value for our global customer base,” he added.
Veritas tapped Gibson, Dunn & Crutcher and Covington & Burling to serve as legal counsel for the acquisition while Sequa employed Evercore and BofA Securities as financial advisers and Latham & Watkins as legal counsel.