Diminishing Tailwinds

Arcline Investment Management, a self-professed growth-oriented private equity firm with $8.9-billion in cumulative capital, has signed a definitive agreement to acquire Hartzell Aviation from Tailwind Technologies.

Arcline set forth: “As investors exclusively focused on Critical Suppliers to Critical Industries, Hartzell’s portfolio of flight-critical propeller and engine subsystems for a large and long-lived installed base fits perfectly with Arcline’s strategy. We are excited to partner with the Hartzell team to carry on its legacy generated over the past one-hundred years and facilitate the Company’s next phase of growth.”

Hartzell Aviation president Jim Brown stated: “Our family has been blessed to be the stewards of Hartzell Aviation for 37-years. As we look to the future, we believe Arcline fully embraces our core value—Built on Honor—and will bring the skills and resources to build on over a century of excellence and innovation.”

On 26 July 2022, Tailwind Technologies Inc., a division of investment holdings controlled by brothers James W. Brown III and Joseph W. Brown, formed Hartzell Aviation—an amalgamated entity comprising Hartzell Propeller, Hartzell Aerospace Welding, and Hartzell Engine Tech.

Hartzell Aviation’s flagship company, Hartzell Propeller, is a global leader in advanced aircraft propeller design and manufacturing. The company’s air-screws adorn a gamut of aircraft that stretches from Cessna’s 172 to Lockheed’s C-130. The division is headquartered in Piqua, Ohio.

Egan, Minnesota-based Hartzell Aerospace Welding specializes in general aviation aircraft exhaust systems and engine mount repair. The company’ core competencies include certified welding, precision machining, and sheet-metal fabrication. Hartzell Aerospace Welding recently acquired Canadian welding outfit Acorn Welding.

Hartzell Engine Tech—formerly Hartzell Engine Technologies—offers a product portfolio comprising Janitrol Aero, Fuelcraft, Plane-Power, Sky-Tec, and AeroForce Turbocharger Systems. Subject brands provide engine accessories and heating solutions to the general aviation industry. Based in Montgomery, Alabama, Hartzell Engine Tech enjoys a well-earned reputation for precise engineering, manufacturing, inspection, and certification guarantee quality and control.

Arcline’s acquisition of Hartzell Aviation is consistent with the former firm’s stated aim of seeking to “ … invest in technology driven, meaningful-to-the-world industrial businesses that enable a better future.”

BMO Capital Markets served as financial advisor to Arcline in connection with the Hartzell Aviation acquisition. RBC Capital Markets, LLC served as financial advisor to Tailwind Technologies.

FMI: www.arcline.com