Warburg Pincus and Berkshire Partners Complete Acquisition of TRIUMPH

Rhea-AI Summary

Triumph Group (NYSE: TGI) has completed its previously announced acquisition by private equity firms Warburg Pincus and Berkshire Partners, transitioning from a public to a private company. As part of this transition, Jorge L. Valladares III, former COO of TransDigm, will succeed Daniel J. Crowley as CEO.

TRIUMPH will continue operating independently as a provider of mission-critical engineered systems and components for aerospace and defense companies. The acquisition leverages Warburg Pincus's $86 billion in assets under management and Berkshire Partners' expertise, with the latter currently investing from their Fund XI with approximately $7.8 billion in commitments.

Positive

• Transition to private ownership could provide more operational flexibility and long-term growth focus
• Strategic backing from two major PE firms with extensive aerospace & defense sector experience
• Appointment of experienced aerospace executive Jorge Valladares III as new CEO
• Continued independent operations maintaining existing customer relationships

Negative

• Loss of public market access and transparency for existing stakeholders
• Potential for increased debt load typical in PE acquisitions
• Leadership transition risks during critical ownership change

Insights

Aerospace & Defense M&A Specialist

Triumph Group's private acquisition by Warburg Pincus and Berkshire Partners removes public market pressures, potentially enabling long-term strategic flexibility.

The completion of Triumph Group's acquisition by Warburg Pincus and Berkshire Partners marks a significant transition for this aerospace and defense supplier. This take-private transaction removes TGI from public markets, where it will now operate as an independent privately-held entity. The deal brings leadership changes with Jorge Valladares III, former COO of TransDigm, replacing Daniel Crowley as CEO.

This transaction follows a common pattern in aerospace and defense: private equity firms acquiring specialized suppliers to optimize operations outside public market scrutiny. Both acquirers bring significant aerospace sector experience through investments in companies like TransDigm, Consolidated Precision Products, and Wencor Group – suggesting they see untapped potential in Triumph's specialized capabilities.

For Triumph, private ownership likely means greater operational flexibility without quarterly earnings pressures. Given the acquirers' track records with similar portfolio companies, we can expect strategic focus on Triumph's high-margin engineered systems and proprietary components, particularly in aftermarket applications. The private equity sponsors will likely leverage their sector expertise to drive operational improvements and potentially position for future strategic options.

The timing aligns with aerospace supply chain consolidation trends as OEMs seek more resilient supplier networks post-pandemic. Triumph's transition to private ownership should allow it to make longer-term strategic investments and potentially pursue bolt-on acquisitions to strengthen its position as a tier-one aerospace supplier.

Privately-held company will continue as an independent leading provider of mission-critical aerospace systems and components

RADNOR, Pa. and NEW YORK and BOSTON, July 24, 2025 /PRNewswire/ -- Triumph Group, Inc. (NYSE: TGI) ("TRIUMPH" or the "Company") today announced the completion of its previously announced acquisition by growth-focused private equity firms Warburg Pincus and Berkshire Partners, becoming an independent privately-held company. With the completion of the transaction, Jorge L. Valladares III will become Chief Executive Officer, succeeding Daniel J. Crowley who joined the Company as CEO in 2016. TRIUMPH will continue to operate as an independent leading provider of mission-critical engineered systems and proprietary components for aerospace and defense companies across both OEM and aftermarket applications.

"I am honored to lead TRIUMPH in this next phase of growth to advance its role as a premier provider of mission-critical aerospace and defense systems and components," said Jorge L. Valladares III, CEO, TRIUMPH. "I look forward to working closely with the TRIUMPH team to further strengthen and expand our capabilities and meet the evolving needs of our customers."

Mr. Valladares joins TRIUMPH with decades of leadership experience in the aerospace industry. He most recently served as the Chief Operating Officer of TransDigm, a leading global designer, producer, and supplier of highly engineered aircraft components for commercial and military customers, a position he held until 2023. 

"Companies across the aerospace industry rely on TRIUMPH for the premier design, production, and services it provides," said Dan Zamlong, Managing Director at Warburg Pincus. "We are excited to support Jorge and the TRIUMPH leadership team as they innovate to deliver world-class solutions for their customers."

"TRIUMPH is well-positioned to accelerate its growth as a privately held company, strengthening its position as a highly-valued aerospace and defense supplier," said Blake Gottesman, Managing Director at Berkshire Partners. "We look forward to partnering with Jorge, Warburg Pincus, and the impressive team at TRIUMPH in this next chapter of growth."

"I am incredibly proud of the progress that TRIUMPH has made in the past decade and the impact it has had on the industry," said Dan Crowley. "Berkshire Partners and Warburg Pincus have strong track records as experienced investors in the sector, generating growth and long-term value creation, and will be great partners to the TRIUMPH team. I am confident that Jorge's deep industry experience and proven track record of leading and growing similar businesses will benefit all TRIUMPH stakeholders."

Warburg Pincus and Berkshire Partners are active investors in the aerospace & defense and industrial sectors. Warburg Pincus' current and former investments in these sectors include Accelya, Aquila Air Capital, CAMP Systems, Consolidated Precision Products, Duravant, Extant Aerospace, Infinite Electronics, Inmarsat, iNRCORE, Quest Global, Sundyne, TransDigm and Wencor Group. Berkshire Partners' current and former investments in these sectors include Advanced Drainage Systems, Amsafe, Consolidated Precision Products, Harvey Performance Company, Hexcel, Husky, Parts Town, SRS Distribution, and TransDigm.

About TRIUMPH
Founded in 1993 and headquartered in Radnor, Pennsylvania, TRIUMPH designs, develops, manufactures, repairs and provides spare parts across a broad portfolio of aerospace and defense systems and components. The Company serves the global aviation industry, including original equipment manufacturers and the full spectrum of military and commercial aircraft operators.

More information about TRIUMPH can be found on the Company's website at www.triumphgroup.com.

About Berkshire Partners
Berkshire Partners is a 100% employee-owned, multi-sector specialist investor in private and public equity. The firm's private equity team invests in well-positioned, growing companies across business & consumer services, healthcare, industrials, and technology & communications. Berkshire is currently investing from its Fund XI, which held its final closing in 2024 with approximately $7.8 billion in commitments. Since inception, Berkshire Partners has made more than 150 private equity investments and has a strong history of collaborating with management teams to grow the companies in which it invests. For additional information, visit www.berkshirepartners.com.

About Warburg Pincus
Warburg Pincus LLC is the pioneer of private equity global growth investing. A private partnership since 1966, the firm has the flexibility and experience to focus on helping investors and management teams achieve enduring success across market cycles. Today, the firm has more than $86 billion in assets under management, and more than 230 companies in their active portfolio, diversified across stages, sectors, and geographies. Warburg Pincus has been an active investor in the aerospace & defense and industrial technology sectors with current and former investments including Accelya, Aquila Air Capital, CAMP Systems, Consolidated Precision Products, Duravant, Extant Aerospace, Infinite Electronics, Inmarsat, iNRCORE, Quest Global, Sundyne, TransDigm and Wencor Group. Warburg Pincus has invested in more than 1,000 companies across its private equity, real estate, and capital solutions strategies.

The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore. For more information, please visit www.warburgpincus.com or follow us on LinkedIn.

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SOURCE Triumph Group

FAQ

What is the impact of Warburg Pincus and Berkshire Partners acquiring Triumph Group (TGI)?

The acquisition transforms Triumph Group from a public to a private company, potentially providing more operational flexibility and long-term growth focus under the backing of two major private equity firms with extensive aerospace sector experience.

Who is the new CEO of Triumph Group following the acquisition?

Jorge L. Valladares III, former COO of TransDigm, has been appointed as the new CEO, succeeding Daniel J. Crowley who had led the company since 2016.

Will Triumph Group continue its current operations after the acquisition?

Yes, Triumph Group will continue to operate independently as a provider of mission-critical engineered systems and components for aerospace and defense companies across OEM and aftermarket applications.

What is the investment capacity of the acquiring firms?

Warburg Pincus manages over $86 billion in assets, while Berkshire Partners is currently investing from Fund XI with approximately $7.8 billion in commitments.

How will the Triumph Group acquisition affect its market position?

The acquisition is expected to strengthen Triumph's position as a highly-valued aerospace and defense supplier, with the private equity backing potentially accelerating its growth and expansion capabilities.