TransDigm Group (NYSE:TDG) has entered into a definitive agreement to acquire Stellant Systems for approximately $960 million in cash, marking a significant expansion of its highly engineered aerospace and defense component portfolio.
The purchase price includes tax benefits expected to be realized by TransDigm.
Stellant, a portfolio company of private equity firm Arlington Capital Partners, specializes in the design and manufacture of high-power microwave and radio frequency (RF) amplification products.
Its technology, which includes vacuum electron devices and solid-state power amplifiers, is critical to radar, electronic warfare, and secure satellite communications.
Headquartered in Torrance, California, Stellant is projected to generate roughly $300 million in revenue for the calendar year ending December 31, 2025.
The deal perfectly aligns with TransDigm’s long-standing strategy of acquiring niche, proprietary businesses with high barriers to entry.
Approximately 50% of Stellant’s revenue is derived from aftermarket sales—parts and services required throughout the decades-long lifecycle of military and commercial platforms—while nearly all its revenue comes from proprietary products.
The acquisition follows Stellant's growth under Arlington Capital Partners, which formed the company in 2021 by carving out the Electron Devices and Narda Microwave-West divisions from L3Harris Technologies.
Stellant currently employs about 950 people across its manufacturing footprint in California, Pennsylvania, New York, and Massachusetts.
The transaction is subject to U.S. regulatory approvals and customary closing conditions.
Upon completion, Stellant will join TransDigm’s collection of more than 50 independent operating units.