HEICO Corporation to Acquire Leading Electric Power Generation Component Repair Companies
Rhea-AI Summary
HEICO (NYSE:HEI) announced that its Flight Support Group subsidiary Wencor entered into an agreement to acquire EthosEnergy Accessories and Components Limited and EthosEnergy Accessories and Components, LLC ("Ethos A&C"). Closing is expected in Q1 fiscal 2026 and remains subject to governmental approvals and customary closing conditions. Transaction terms were not disclosed.
Ethos A&C repairs aeroderivative gas turbine engine accessories and components, employs 175 people across three leased sites in Connecticut, South Carolina and Scotland totaling > 175,000 sq ft, and is expected to be accretive to HEICO's earnings within the year following closing.
Positive
- Accretive to earnings within one year after closing
- Adds 175 employees and > 175,000 sq ft of repair capacity
- Expands presence in aeroderivative gas turbine and industrial power markets
Negative
- Closing is subject to governmental approval
- Transaction terms and financial details not disclosed
News Market Reaction
On the day this news was published, HEI declined 0.60%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
HEICO gained 0.54% with above-average volume, while close peers showed mixed, modest moves (e.g., LHX +0.38%, TDG -1.11%), pointing to a company-specific driver.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 08 | Earnings call notice | Neutral | +0.8% | Scheduled Q4 results release and investor conference call details. |
| Nov 10 | Acquisition announcement | Positive | +2.4% | Axillon Fuel Containment acquisition, expected to be earnings accretive. |
| Sep 30 | Product launch | Positive | +1.6% | New VXR125-27000S DC-DC converter expanding VXR Series offerings. |
| Sep 29 | Leadership change | Negative | -0.8% | Announcement of Executive Chairman Laurans Mendelson’s passing and succession. |
| Aug 25 | Earnings results | Positive | +8.8% | Record Q3 2025 net income, sales, and operating income with strong growth. |
Across recent news, HEICO’s stock has tended to move in the same direction as the apparent news tone, including prior acquisition announcements and earnings releases.
Over the past six months, HEICO reported record Q3 2025 results, launched new high-efficiency power products, and navigated leadership succession after the passing of its longtime Executive Chairman. It also announced multiple acquisitions expected to be accretive within a year, including Axillon’s Fuel Containment business. The latest Ethos A&C acquisition extends this acquisition-driven expansion, particularly within Flight Support and repair services, consistent with its strategy of adding niche capabilities across aviation and defense markets.
Market Pulse Summary
This announcement details HEICO’s agreement to acquire Ethos A&C, a repair specialist founded in 1979 with 175 employees across 3 sites totaling 175,000 square feet. The deal expands HEICO’s presence in aeroderivative gas turbine and aerospace component repairs and is expected to be accretive within a year of closing. In context with multiple 2025 acquisitions and strong Q3 results, investors may focus on execution, regulatory approvals, and how Ethos A&C’s contribution appears in future financial reports.
Key Terms
aeroderivative gas turbine technical
maintenance, repair and overhaul technical
forward-looking statements regulatory
export policies and restrictions regulatory
AI-generated analysis. Not financial advice.
Purchases Expand HEICO into Aeroderivative Gas Turbine Parts
MIAMI, FL / ACCESS Newswire / December 16, 2025 / HEICO Corporation (NYSE:HEI.A) and (NYSE:HEI) today announced that its Flight Support Group subsidiary, Wencor Group, LLC ("Wencor"), entered into an agreement to acquire EthosEnergy Accessories and Components Limited and EthosEnergy Accessories and Components, LLC ("Ethos A&C"). Closing is subject to governmental approval and standard closing conditions and is expected to occur in the first quarter of fiscal 2026. Transaction terms and financial details were not disclosed.
Ethos A&C is expected to be accretive to HEICO's earnings within the year following closing.
Ethos A&C repairs a large portfolio of engine accessories including fuel nozzles, wire harnesses, starters, valves, plenum assemblies, air diffusers, and engine components including blades, vanes, seals, and other related components.
Ethos A&C has grown from its inception in 1979 into a leading provider of engine component and accessory repair solutions for the aeroderivative gas turbine, aerospace, and defense markets. Ethos A&C has 175 employees at three leased locations in Connecticut, South Carolina and Scotland, spanning over 175,000 square feet.
Eric A. Mendelson and Victor H. Mendelson, HEICO's Co-Chairmen and Co-Chief Executive Officers, along with Shawn Trogdon, Wencor's Chief Executive Officer, jointly commented: "We proudly welcome Ethos A&C to the Wencor and HEICO families. This acquisition will enable us to substantially increase our presence in the aeroderivative industrial gas turbine market, supporting fast-growing global energy demand fueled by the AI revolution. Ethos will remain as a standalone entity within Wencor and will expand our capabilities and service offerings to our customers as well as grow our global Maintenance, Repair and Overhaul footprint.
Rikki Blair, Ethos A&C's Senior Operations Director, commented: "We are very excited to join the Wencor and HEICO families. The culture, values, and commitment to customers, suppliers and team members at HEICO is something that we will continue to carry forward. Ethos will continue to provide our customers with the exceptional customer service and high-quality repairs that they have become accustomed to receiving."
HEICO Corporation is engaged primarily in the design, production, servicing and distribution of products and services to certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Hollywood, Florida-based Flight Support Group and its Miami, Florida-based Electronic Technologies Group. HEICO's customers include a majority of the world's airlines and overhaul shops, as well as numerous defense and space contractors and military agencies worldwide, in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our website at www.heico.com.
Certain statements in this press release constitute forward-looking statements, which are subject to risks, uncertainties and contingencies. HEICO's actual results may differ materially from those expressed in or implied by those forward-looking statements. Factors that could cause such differences include, among others: the severity, magnitude and duration of public health threats; our liquidity and the amount and timing of cash generation; lower commercial air travel, airline fleet changes or airline purchasing decisions, which could cause lower demand for our goods and services; product specification costs and requirements, which could cause an increase to our costs to complete contracts; governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors, which could reduce our sales; our ability to introduce new products and services at profitable pricing levels, which could reduce our sales or sales growth; product development or manufacturing difficulties, which could increase our product development and manufacturing costs and delay sales; cybersecurity events or other disruptions of information technology systems could adversely affect our business; our ability to make acquisitions, including obtaining any applicable domestic and/or foreign governmental approvals, and achieve operating synergies from acquired businesses; customer credit risk; interest, foreign currency exchange and income tax rates; economic conditions, including the effects of inflation, within and outside of the aviation, defense, space, medical, telecommunications and electronics industries, which could negatively impact our costs and revenues; and defense spending or budget cuts, which could reduce our defense-related revenue. Parties receiving this material are encouraged to review all of HEICO's filings with the Securities and Exchange Commission, including, but not limited to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.
Contact:
Eric A. Mendelson (954) 744-7550
Carlos L. Macau (954) 744-7562
SOURCE: HEICO Corporation
View the original press release on ACCESS Newswire
FAQ
What did HEICO (NYSE:HEI) announce on December 16, 2025 regarding Ethos A&C?
When is the HEICO (HEI) acquisition of Ethos A&C expected to close?
How will the Ethos A&C deal affect HEICO's operations and capacity?
Will the Ethos A&C acquisition impact HEICO's earnings (HEI)?
Are financial terms disclosed for HEICO's acquisition of Ethos A&C (HEI)?
