Seabury Capital Advises HAECO Group on Acquisition of U.S. Aero-engine Maintenance Provider Jet Engine Solutions

NEW YORK–(BUSINESS WIRE)–#AntaresReis–Seabury Capital Group LLC (“Seabury Capital”) announced today that its London and New York-based Aerospace and Defense (“A&D”) Investment Banking teams assisted Hong Kong Aircraft Engineering Company Limited (“HAECO Group”), the world’s leading aircraft engineering and maintenance group and interior solutions provider, in the acquisition of Texas-based aero-engine maintenance provider, Jet Engine Solutions LLC (“JES”).

The acquisition marks HAECO Group’s debut in North America’s on- and near-wing, aero-engine market, forming part of HAECO Group’s strategy to grow its Global Engine Support business and enabling the company to further strengthen its quality services to customers worldwide.

“Leveraging our comprehensive intelligence capabilities and in-depth knowledge of the aerospace market, our London and New York teams worked hand-in-hand with HAECO Group to map out and screen for investment opportunities,” noted Antares Reis, Seabury Capital’s Managing Director, who heads the company’s A&D Investment Banking team in London.

Stephan Krastev, Seabury Capital’s Managing Director, who heads the firm’s A&D Investment Banking team in New York, added: “We provided HAECO Group with the requisite insights to identify the optimum target to meet its strategic aim and then to structure and execute this complex transaction.”

JES, founded in 2009, operates 14 engine bays from its 12,000 m² premises located in Carrollton, Texas, and is capable of storing up to 120 engines. The facilities are supported by employees with deep industry experience in providing maintenance services to a wide range of blue-chip customers on most in-demand engines, such as the CFM-56 and LEAP families. Transaction terms were not disclosed.

Frank Walschot, Chief Executive Officer of HAECO Group, said: “JES represents a significant strategic development for HAECO Group. We see very strong market demand for customer-focused, timely on- and near-wing aero-engine support with global reach. Through this acquisition, we will build on this capability at the heart of one of our most important markets.”

Christopher Gibbs, HAECO Group’s Director, Components and Engine Services, commented: “I am very grateful to the Seabury Capital team whose comprehensive and state-of-the-art search and screening process facilitated our understanding of a widely fragmented market. This accretive transaction allowed HAECO Group ultimately to identify exactly the right target in the right market at the right price. I am particularly grateful to Alexander (AJ) Issenman whose tenacity in delivering an exclusive deal in the face of the MAX and coronavirus challenges have put us on the map just where we need to be.”

Krastev further elaborated on the transaction by accentuating the highly collaborative nature of Seabury Capital’s approach, through which the company’s teams in New York and London “perform synergistically and seamlessly to deliver optimum outcomes for top strategic clients seeking to grow in the aviation and A&D space. Our coverage of the foundational marketplaces for A&D, Europe, and North America, India, and Australasia allows Seabury Capital to work with SMEs and multinationals alike to deliver the right solutions.”

ABOUT HONG KONG AIRCRAFT ENGINEERING COMPANY LIMITED (“HAECO GROUP”)

The HAECO Group is one of the world’s leading aircraft engineering and maintenance service providers. The Group provides a comprehensive range of services encompassing Airframe Services, Line Services, Cabin Solutions, Private Jet Solutions, Fleet Technical Management, Inventory Technical Management, Component Overhaul, Aerostructure Repairs, Landing Gear Services, Engine Services, Global Engine Support, Parts Manufacturing and Technical Training. The HAECO Group consists of 16 operating companies, employing around 17,000 staff in Hong Kong, Mainland China, and the United States. HAECO Group’s website: www.haeco.com

ABOUT SEABURY CAPITAL GROUP

Seabury Capital Group LLC (“Seabury Capital”) operates a number of specialty finance, investment banking, technology, and software companies with a core focus anchored in aviation, aerospace & defense, maritime, and financial services & technology. Since its founding in 1995, Seabury Capital has taken ownership stakes in software and asset management businesses servicing the aviation and travel industries. Seabury Capital ended the year 2019 with over $1 billion in assets and intends to leverage those resources to launch one or more specialized investment funds in aviation, travel, and technology in 2020, under a newly incorporated investment fund manager, Seabury Capital Management LLC.

Within the last few years, Seabury Capital has expanded its portfolio by investing in early stage startup companies within the financial technology industry and structured investment products. In addition, Seabury Capital owns and operates FINRA, NFA and FCA regulated investment banking services firms in the U.S. and U.K., respectively, serving external clients as well as assisting the companies in which Seabury Capital has invested.

Seabury Capital has operations in New York, Amsterdam, Beijing, Berlin, Chicago, Cordoba, Dallas, Dublin, Durban, Edison (NJ), Guernsey, Hong Kong, Houston, Jersey City, London, Los Angeles, Manila, Minneapolis, Mumbai, Nairobi, Ottawa, Seoul, Shannon, Singapore, Summit (NJ), Stamford (CT), and Tokyo. Reference Seabury Capital at www.seaburycapital.com.

Contacts

John Luth

pr@seaburycapital.com; +1 612 263 6953