Harris Williams & Co. Advises Haas Group Inc. in its Pending Sale to Wesco Aircraft Holdings, Inc.

January 31, 2014

Harris Williams & Co., a preeminent middle market investment bank focused on the advisory needs of clients worldwide, announces that Haas Group Inc. (Haas), a leading global provider of integrated chemical supply chain management (CSCM) solutions, has entered into an agreement to be acquired by Wesco Aircraft Holdings, Inc. (Wesco; NYSE:WAIR) for $550 million, subject to certain closing adjustments.  Harris Williams & Co. is acting as the exclusive financial advisor to Haas, a portfolio company of The Jordan Company, L.P.  The transaction is expected to close in the first quarter of 2014 and is being led by Patrick McNulty, Chris Rogers, Jon Nemo, Darwin Olympia, Brad Morrison and Jay Beekman from Harris Williams & Co. 

“Haas’ track record of profitable growth is a testament to the company’s extraordinary value proposition that allows numerous global industries to benefit from more effective management of their complex chemical supply chains,” said Patrick McNulty, a managing director at Harris Williams & Co. and co-head of the firm’s Industrials Group.  “We greatly enjoyed working with Haas CEO Thad Fortin and his team and we wish them continued success as part of Wesco.” 

“Haas’ strategic focus, scale, global infrastructure and state-of-the-art technology uniquely enable mission-critical CSCM capabilities at many of the world’s leading commercial aerospace and defense companies,” said Chris Rogers, a managing director in Harris Williams & Co.’s Aerospace, Defense & Government Services (ADG) Group.  “This acquisition provides Wesco with the leading position in the growing market for outsourced CSCM and materially expands its breadth of supply chain management solutions for the global aerospace industry.”

“Companies with strong and defensible market positions in both aerospace and defense end markets are commanding high levels of interest from acquirers,” added Jon Nemo, a managing director at Harris Williams & Co. and head of the firm’s ADG Group.  “We expect this trend to continue as buyers look to benefit from the scarcity of differentiated and cost-effective capabilities within the highly competitive global defense market and the long-term visibility and growth that characterize the global commercial aerospace market.”

Haas is a leading global provider of CSCM solutions to the commercial aerospace, airline, military, energy and other markets.  The company’s services include sourcing and procurement; inspection and quality assurance; warehousing and inventory management; and process control and usage management.  Haas offers a broad array of products, including more than 125,000 different stock keeping units and 90,000 unique chemicals from more than 5,000 suppliers. The company, headquartered in West Chester, PA, employs more than 1,300 employees and has 35 distribution hubs and forward stocking locations around the world.

The Jordan Company, founded in 1982, is a middle market private equity firm with approximately $7 billion of committed capital assets under management and a 30-year track record of investing in and contributing to the growth of many businesses across a wide range of industries.  The senior investment team has been investing together for more than 20 years and they are supported by the Operations Management Group, which was established in 1988 to initiate and support operational improvements in portfolio companies.  Headquartered in New York, The Jordan Company also has offices in Chicago and Shanghai.

Wesco is one of the world's largest distributors and providers of comprehensive supply chain management services to the global aerospace industry.  The company’s services range from traditional distribution to the management of supplier relationships, quality assurance, kitting, just-in-time delivery and point-of-use inventory management.  The company believes it offers one the world’s broadest inventories of aerospace parts, comprised of more than 525,000 different stock keeping units, including hardware, bearings, tools, electronic components and machined parts.  Wesco has more than 1,300 employees across 43 locations in 13 countries.

Harris Williams & Co.’s Industrials Group has experience across a variety of sectors, including test and measurement; advanced manufacturing; automotive and heavy duty truck; capital goods; chemicals; industrial and environmental services; flow control; metals; natural resources and mining; paper, plastics and packaging; and power connectivity and control.  For more information on the firm’s Industrials Group and other recent transactions, visit the Industrials Group website.

Harris Williams & Co.’s ADG Group offers strategic advice to a global base of leading aerospace, defense and government services clients. For more information on the ADG Group and other recent transactions, visit the ADG Group website.