Windjammer Capital Acquires PrecisionX Group

Windjammer Capital has finalized its acquisition of PrecisionX Group, a prominent manufacturer of highly engineered precision metal components. This strategic move marks the fourth deployment from Windjammer's $1.3 billion sixth fund, signaling continued confidence in the niche manufacturing sector. PrecisionX, headquartered in Waterbury, Connecticut, specializes in critical-use components for demanding industries, including aerospace, defense, medical devices, and satellite communications.

The company's advanced manufacturing capabilities encompass deep and shallow drawn parts, progressive stamping, Swiss screw machining, CNC machining, and wire electrical discharge machining (EDM). These processes enable PrecisionX to serve as a vital supplier of both prototypes and high-volume production runs for original equipment manufacturers (OEMs) and Tier 1 suppliers. With over 650 employees spread across seven U.S. facilities totaling approximately 400,000 square feet, PrecisionX possesses significant operational scale.

CORE Industrial Partners, the seller, had previously consolidated several manufacturing entities under the PrecisionX umbrella, including GEM Manufacturing, Coining Manufacturing, National Manufacturing, Ditron, MSK Precision Products, and Hudson Technologies. This consolidation strategy, executed over a three-year period, aimed to create a scaled platform with enhanced capabilities and market reach. CORE Industrial Partners, which recently closed two new funds totaling $887 million, focuses on control investments in North American industrial technology and manufacturing companies.

Chris Huntington, CEO of PrecisionX, expressed optimism about the partnership, stating, “Windjammer has a proven track record of working together with management to build strategic value in the companies they acquire. We look forward to our new partnership and are confident in our ability to further strengthen our position as a scaled provider of critical-use highly engineered precision components.” This sentiment highlights the collaborative approach Windjammer often takes with its portfolio companies.

Craig Majernik, a managing director at Windjammer, underscored the strategic rationale for the acquisition. “PrecisionX represents an attractive growth platform, centered on a differentiated value proposition, with multiple organic and inorganic avenues for expansion,” Majernik commented. “Our experience investing in niche manufacturers and regulated markets – where quality, high reliability and cost of failure are paramount considerations – provides an opportunity to draw on relevant resources to both inform the growth strategy and support the team in executing the plan.” Windjammer typically invests between $50 million and $200 million in middle-market businesses with EBITDA ranging from $8 million to $50 million.

The transaction saw Stifel acting as the financial advisor to Windjammer. Baird and Houlihan Lokey provided advisory services to PrecisionX and CORE Industrial Partners. This deal underscores the ongoing private equity interest in specialized industrial manufacturers that provide essential components for high-growth and technologically advanced sectors.