Québec-based development capital fund, the Fonds de solidarité FTQ, has granted Héroux-Devtek a $50 million loan for the acquisition of Compana Espanola de Sistemas Aeronauticos (CESA), an Airbus subsidiary that provides fluid mechanics equipment.
Héroux-Devtek Inc. is a Québec-based company specializing in the design, development, manufacture, integration, testing, and repair and overhaul of landing gear and actuation systems and components for the aerospace market. The company, with head office in Longueuil, Canada, is the third largest landing gear company worldwide.
Following the transaction, Héroux-Devtek will have 1,697 employees worldwide, including 590 in Québec.
Normand Chouinard, executive vice-president of investments, Fonds de solidarité FTQ, said, "In its strategic planning, the Fonds de solidarité FTQ has decided to invest more in the Québec's aerospace sector as at is an important part of our economy. Our investment in Héroux-Devtek for the strategic acquisition of CESA fits perfectly in this plan."
"With a series of key acquisitions since the mid-1980s, Héroux-Devtek has become a worldwide aerospace industry leader. This transaction will further strengthen the company's position in this sector of Québec's economy," added Jean Wilhelmy, senior vice-president for aerospace, infrastructures, services, and transportation at Fonds de solidarité FTQ.
As of May 31, 2017, Fonds de solidarité FTQ had $13.1 billion in net assets, and through its current portfolio of investments has helped create and protect 186,440 jobs. The Fonds is a partner in more than 2,700 companies and has 645,664 shareholder-savers.