ECI Partners LLP has agreed to sell headset maker Racal Acoustics Ltd. to Esterline Technologies Corp. for £115 million ($160.4 million).
The British private equity firm said the transaction only needs approval from German regulators and is expected to close in January.
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ECI invested in Racal Acoustics in August 2005, backing the management
team in a £52 million buyout from JF Lehman & Co., a New York
private equity firm that invests in defense and aerospace companies. At
the time, ECI said it would provide Racal with up to another £50
million in development capital.
ECI said Racal¹s profits have jumped nearly 150% since 2004 and its sales have risen by 110%.
"Racal
Acoustics is a great U.K. industrial success story," said Ken Lindsay,
an ECI director in a comment. "Over the last few years it has developed
into a global market leader in its field on the back of a commitment to
R&D, market-leading product design capabilities and a great
management team."
Harrow, U.K.-based Racal provides battlefield
headsets, handsets and fist microphones to the British military. Its
equipment is used all over the world by 120 branches and its Raptor
electronic noise reduction headset was used by Prince Harry during his
tour of duty in Afghanistan.
Racal¹s MBO team was led by its XEO
Geof Eeles, sales director Terry Buckley, finance director David Watton
and operations director Paul Watson. - Greg Johnson
