Aerospace supplier HEICO Corp. said it will buy Wencor Group in a deal valued at $2.05 billion to boost its portfolio of generic parts.
The deal, announced on Monday, comes at a time when airlines and aircraft repair shops in North America are increasingly relying on used and generic parts to keep jets flying, as supply-chain disruptions hinder supply of name-brand parts from companies such as General Electric Co.
The purchase of Wencor, from its management and Warburg Pincus, will complement HEICO’s current product line, HEICO Co-President Eric Mendelson told Reuters.
For example, HEICO doesn’t make bearings, whereas Wencor is “very strong in bearings,” Mendelson said, adding that he expects further consolidation within the general aerospace supply chain….