I Squared Capital has agreed to buy Orizon Aerostructures, a Kansas City-based manufacturer of large structural parts and subassemblies for commercial jets, defence programmes, and spacecraft. Gautam Bhandari, Managing Partner and Chief Investment Officer at I Squared Capital, stated the acquisition aligns with their infrastructure investment strategy. Orizon’s contracts run for the life of the aircraft programmes they cover, allowing cost increases to be passed through to customers.
The company faces demanding qualification requirements for rivals, creating significant barriers to entry. These attributes combine long-term customer relationships with a protected market position. I Squared Capital seeks these characteristics as infrastructure investors, aiming to leverage Orizon’s established position in the aerospace supply chain.
The deal strengthens I Squared’s footprint in the defence and aerospace sectors.
Source: PE Insights · Summarized by HeadlinesBriefing