B/E Aerospace to acquire German aerospace logistics firm Interturbine for $251 mn

25 Jun 2012

B/E Aerospace, the US-listed manufacturer of passenger aircraft cabin interior products, today agreed to buy German aerospace logistics company Interturbine for about €200 million ($251 million) in cash to boost its consumables product portfolio.

The deal comes six months after the Florida-based company acquired New York-based UFC Aerospace Corp., a chain management and inventory logistics solutions supplier to aerospace equipment manufacturers, for $400 million.

Kaltenkirchen, Germany-based Interturbine is a leading provider of material management logistical services to global airlines and maintenance, repair and overhaul (MRO) providers.

Interturbine is a "One Stop Source," reducing aircraft downtime for airlines and MRO's. Over 60 per cent of Interturbine's business is generated on an urgent Aircraft-on-Ground basis, requiring response within 4 to 24 hours.

Interturbine provides more than 500,000 parts from approximately 3,000 suppliers for its customers. Interturbine's product range includes chemicals, lubricants, hydraulic fluids, adhesives, coatings, and composites. Interturbine also supplies fasteners, cables and wires, electronic components, electrical and electromechanical materials, tools, hot bonding equipment and ground equipment.

B/E Aerospace is the world's biggest manufacturer of aircraft cabin interiors and the world's leading distributor of aerospace fasteners and consumables. Products for the existing aircraft fleet or  the aftermarket, generate approximately 50 per cent of its $2.5 billion revenues.

The company designs, develops and manufactures a broad range of products for both commercial aircraft and business jets, including aircraft cabin seating, lighting, oxygen, and food and beverage preparation and storage equipment. The company also provides cabin interior design, reconfiguration and passenger-to-freighter conversion services.

"The acquisition of Interturbine doubles our consumables product portfolio, and more importantly, positions our company to offer a comprehensive range of products and services on a single-source basis to our customers globally,'' said Amin Khoury, chairman and CEO of B/E Aerospace.

"Our future revenue growth will be fueled by key positions on critical customer platforms, our ability to respond to customer demand for same day service, and our ability to respond to aerospace customer trends toward outsourcing more and more key elements of the supply chain through enhanced product offerability and complex logistic solutions," he added.