Arcline Investment Management to Acquire Novaria Group from KKR for $2.2 Billion
- Transaction Positions Leader in Aerospace Engineered Components and Specialty Processes for its Next Chapter of Growth at Scale
- Provides Cash Payouts to All Employees Through Ownership Program
“We are proud of how we built Novaria in partnership with the management team into a resilient aerospace and defense supplier that benefits its employees and customers,” said Josh Weisenbeck, Partner at KKR. “This milestone was enabled by an ownership mindset, operational excellence, and putting our people first, and we are pleased to see all employees share in the value they helped create.”
Following KKR’s initial investment in 2020, Novaria has more than tripled in size, completing 13 strategic add-on acquisitions that broadened its product portfolio and enhanced its manufacturing footprint. The Company today serves 3,000+ customers globally and employs over 1,600 colleagues across the
“This transaction represents the success of our long-standing partnership with KKR and the dedication of the Novaria team,” said Bryan Perkins, CEO of Novaria Group. “Novaria’s focus on customer partnership within the aerospace industry has driven remarkable results, and this outcome is a reflection of the collective effort and commitment of our colleagues.”
KKR’s track record with Novaria and focus on employee engagement have delivered measurable results across the organization:
-
Safety: Improvements in safety have reduced the total recordable incident rate by over
60% since 2021 -
Talent Retention: Delivered an almost
20% reduction in voluntary turnover since 2021 - Ownership Culture: Achieved top quartile for manufacturing companies on the Ownership Works index
As a result of Novaria’s employee ownership program, all of the Company’s over 1,600 employees will receive cash payouts upon closing the transaction.
KKR and Novaria were advised by Morgan Stanley & Co. LLC as financial advisor and Kirkland & Ellis as legal advisor on the transaction.
The transaction is subject to customary closing conditions and regulatory approvals.
About Novaria Group
Founded in 2011 and headquartered in
About KKR
KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group’s website at www.globalatlantic.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20251109412781/en/
Media Contact
Novaria Group
Dragana Repaja
drepaja@novariagroup.com
KKR
Kenny Juarez / Sarah Moon
media@kkr.com
Source: KKR
