Loar Holdings Inc. Set to Expand with Applied Avionics Acquisition

The latest update is out from Loar Holdings Inc. (LOAR).

Loar Group is set to acquire all outstanding equity interests of Applied Avionics, Inc. (AAI) for approximately $385 million, subject to customary adjustments. The transaction, which involves a purchase agreement with a planned conversion of AAI into a Delaware limited liability company, has several customary conditions to be met, including antitrust approvals under the HSR Act. The deal, anticipated to close by the end of 2024, includes a $2 million escrow deposit and termination fee provisions. The press release from Loar Group emphasizes the forward-looking nature of the statements regarding the acquisition’s expected benefits and financial performance, despite potential risks outlined in recent SEC filings.

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