Esterline Corporation (NYSE: ESL) (www.esterline.com), a leading specialty manufacturer serving global aerospace and defense markets, announced today that it has completed the sale of its Pacific Aerospace & Electronics (PA&E) subsidiary, based in Wenatchee, Wash., to an affiliate of ShoreView Industries, a Minneapolis-based private equity firm. PA&E produces electronics packaging and connector products as well as machining and sealing processes to protect equipment in the defense, medical, oil & gas and other industrial markets.
Esterline announced in September 2014 that it would look to sell certain subsidiaries that were no longer core to the company's strategic direction. The operations identified at that time, including PA&E, were placed into discontinued operations until the point of sale.
PA&E was acquired by Esterline in 2011 as a part of the Souriau Group of companies. While the niche of PA&E products do not fit with Esterline's core focus and ongoing strategy in the connection technologies market, the PA&E operation aligns well with ShoreView Industries' investment philosophy. ShoreView has been investing in established middle-market businesses like PA&E since 2002.
Esterline was advised in this process by Zachary Scott & Co.
Esterline Corporation is a leading world-wide supplier to the aerospace and defense industry specializing in three core areas: Avionics & Controls, Sensors & Systems, and Advanced Materials. Operations within the Avionics & Controls segment focus on high-technology electronics products for military and commercial aircraft and land- and sea-based military vehicles, secure communications systems, specialized medical equipment, and other industrial applications. The Sensors & Systems segment includes operations that produce high-precision temperature and pressure sensors, harsh-environment connection solutions, electrical power distribution equipment, and other related systems principally for aerospace and defense customers. Operations within the Advanced Materials segment focus on technologies including high-temperature resistant materials and components used for a wide range of military and commercial aerospace purposes and combustible ordnance and countermeasure products.
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