Platinum Equity to acquire Héroux-Devtek for $1.35B

LONGUEUIL — Héroux-Devtek enters an arrangement agreement with Platinum Equity under which Platinum Equity will acquire all issued and outstanding common shares of Héroux-Devtek for $32.50 per share in cash, totalling approximately $1.35 billion.

The transaction represents a 28 per cent premium to the closing share price on July 10, 2024, and a 47 per cent premium to the 90-day volume weighted average trading price per share on the Toronto Stock Exchange up to that date.

The arrangement follows a strategic review process led by a special committee of independent directors, which unanimously concluded that the transaction is in the corporation’s and its stakeholders’ best interests, said Louis Morin, chairman of the committee.

“We have admired Héroux-Devtek’s growth for many years and have great respect for the business Gilles and his team have built,” said Louis Samson, co-president of Platinum Equity. “We believe the company’s engineering prowess and emphasis on R&D have contributed to its success as a service-oriented supplier that delivers for its customers.”

“Héroux-Devtek has established an impressive and well-deserved reputation for delivering innovative, high-quality products for the international aerospace and defence market,” said Platinum Equity MD Delara Zarrabi. “We believe the company has an opportunity to make an even larger impact on a global stage and we will deploy our financial and operational resources to help the company grow organically and through strategic acquisitions.”