Arlington Capital Partners to Sell Stellant Systems, Inc to TransDigm Group for $960 Million

Key Terms

radio frequency technical

Radio frequency is the band of electromagnetic waves used to send wireless signals, like the invisible ripples that carry radio, mobile phone, Wi‑Fi and some medical-device signals through the air. Investors care because control, licensing, or interference of these frequencies affects how well wireless products and services work, the cost and availability of spectrum rights, and regulatory approvals — all of which can materially influence revenue, competition and risk for companies.

RF technical

rf (commonly written r_f) denotes the risk-free rate — the theoretical return on an investment with no chance of loss, often used as a baseline for valuing other assets. Investors use it like a yardstick: returns above this number compensate for extra risk, so it helps price stocks, bonds and option valuations and guides decisions about whether higher-return opportunities justify their added risk. Think of it as the safe deposit box interest rate against which riskier bets are measured.

microwave amplification technical

Microwave amplification is the process of boosting the strength of electromagnetic signals at microwave frequencies so they travel farther or penetrate materials more effectively, using specialized electronic components. For investors, it matters because stronger microwave signals are central to products and services in wireless networks, radar, satellites and some medical devices; companies that control this capability can gain market edge, pricing power or face regulatory and supply-chain risks that affect revenue and valuation.

vacuum electron devices technical

Vacuum electron devices are hardware components that control a beam of electrons traveling through a vacuum to create, boost or shape very high-frequency and high-power radio waves used in radar, satellite links, and certain industrial systems. Think of them like a sturdy valve or turbine that channels a stream to produce useful force; for investors they matter because demand and supply of these devices affect revenues and competitiveness in defense, space, and communications markets where solid-state alternatives may not match required power or frequency.

solid state power amplifiers technical

Solid state power amplifiers are electronic devices that take a small electrical signal and boost it to a much stronger output using solid electronic components (like transistors) instead of older vacuum-tube technology. Investors care because they make radios, satellites, radar and wireless networks more efficient, compact and reliable, which can lower operating costs and enable new products — think of them as a modern, energy-saving megaphone for electronic signals.

radar technical

Radar is a shorthand meaning that a company, issue or development has been noticed and is being watched by investors, analysts or regulators. Like a blip appearing on a ship’s map, being on the radar matters because it signals potential action — increased buying or selling, closer scrutiny, or follow-up reporting — which can change a stock’s price or a firm’s regulatory and market prospects.

missile technical

A missile is a self-propelled weapon designed to travel to a distant target and deliver an explosive, kinetic, or specialized payload; think of it as a guided delivery vehicle built to hit a specific location. For investors, missiles matter because their development, production, export controls, testing and deployment drive revenue and costs for defense firms, influence government spending and contracts, and can trigger rapid market reactions tied to geopolitical risk and regulation.

secure communications technical

Secure communications are methods that keep messages, documents and calls private by locking them so only authorized people can read or hear them, like sending a letter in a sealed envelope or speaking through a locked intercom. For investors this matters because protecting sensitive information — such as earnings plans, merger talks or proprietary data — reduces the risk of market-moving leaks, regulatory fines, legal exposure and loss of competitive advantage.

In partnership with management, Arlington strengthened Stellant’s storied heritage through major investments in manufacturing infrastructure, new product development and human capital

WASHINGTON--(BUSINESS WIRE)-- Arlington Capital Partners, a Washington, D.C.-area private investment firm specializing in government regulated industries, today announced it has agreed to sell Stellant Systems, Inc (“Stellant” or “the Company”), a premier designer and manufacturer of radio frequency (“RF”) and microwave amplification products, to TransDigm Group Incorporated ("TransDigm Group") (NYSE: TDG), a leading global designer, producer and supplier of highly engineered aircraft components, for $960 million.

Headquartered in Torrance, CA, Stellant designs and manufactures vacuum electron devices, solid state power amplifiers and related RF components for the defense, space, medical and industrial markets. The Company supports critical space, radar, missile and secure communications platforms for the Department of War and allied militaries globally. Stellant operates across four U.S. facilities, totaling more than 700,000 square feet of advanced manufacturing space, and employs approximately 950 people.

Peter Manos, a Managing Partner at Arlington Capital Partners, said: “Stellant is another example of an IP-rich strategic carve out creating an Arlington platform company where organic and inorganic investment in people, research and development, product expansion and manufacturing capability and capacity has created a highly sought-after asset. It has been a remarkable journey working alongside Keith and the broader Stellant management team as we scaled an important manufacturer with what we hope will be a multi-generation legacy. TransDigm Group is the perfect long-term home for Stellant, and its interest in partnering with the Company is a testament to Stellant’s strength and its role as a valued partner to its customers.”

“I am incredibly proud of what Stellant has been able to accomplish for its customers and the broader defense ecosystem,” said Keith Barclay, CEO of Stellant Systems. “With significant improvements in operational efficiency and an exciting pipeline of new products, Stellant has never been stronger than it is today. On behalf of the entire Stellant team, I am sincerely grateful for Arlington’s partnership, and we are confident that TransDigm Group is the right partner for our next phase of growth.”

Ben Ramundo, a Managing Director at Arlington Capital Partners, added: “Throughout the course of Arlington’s stewardship, Stellant significantly improved on-time delivery and created an employee-centric culture with an added focus on high-quality customer outcomes. Our investment in Stellant is consistent with Arlington’s long-term, growth-oriented philosophy and deepens our expertise in defense electronics and related technologies, where we see a significant opportunity to build industry-leading platforms that deliver innovation and solve supply chain bottlenecks for the national security community.”

Harris Williams served as exclusive financial advisor and Kirkland & Ellis served as legal counsel to Arlington and Stellant during the transaction.

The transaction is expected to close in 2026, subject to customary regulatory approvals and closing conditions.

About Stellant Systems, Inc.
Stellant Systems is a premier manufacturer of critical spectrum RF/Microwave power amplification products to the space, defense, medical, science, and industrial markets for both domestic and international customers. Stellant has four domestic manufacturing facilities and approximately 950 employees.

About Arlington Capital Partners
Arlington Capital Partners is a Washington, D.C.-area private investment firm specializing in government-regulated industries. Focused on the aerospace and defense, government services and technology, and healthcare sectors, the Firm partners with founders and entrepreneurs to build platforms of strategic importance to national priorities. Operating in markets with high barriers to entry, Arlington looks to partner with organizations within these industries that save lives, improve effectiveness, and reduce costs. Since inception in 1999, Arlington has invested in approximately 200 companies and raised over $14 billion in committed capital. For more information, visit Arlington’s website at http://www.arlingtoncap.com and follow Arlington on LinkedIn.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251231333213/en/

Media Contacts

Arlington Capital Partners

Ryan FitzGibbon

Pro-arlington@prosek.com

Source: Arlington Capital Partners