HEI - Heico to acquire Exxelia in Euro453M cash deal

• Heico's ( NYSE: HEI ) Electronic Technologies Group has entered into a put option agreement to acquire French electronics component supplier Exxelia International for €453M in cash to be paid at closing plus the assumption of ~€14M of liabilities.
• Upon completion of required works council consultations in France, the parties will enter into a definitive purchase agreement with closing of the acquisition expected to occur by the end of first quarter of fiscal year 2023. The business was previously owned by an affiliate of IK Partners and additional sellers.
• Exxelia's management and team members are likely to retain minority interest of ~5% of the business. This marks Heico's largest-ever acquisition, one which is expected to be accretive to EPS within a year of the transaction's closing. The business is estimated to generate ~€190M revenue in 2022.
• The company designs manufactures and sells passive electronic components and rotary joint assemblies for mostly aerospace and defense applications. It employs ~2,100 people and is led by CEO Paul Maisonnier, who will continue in that position post-acquisition.

For further details see: