Servotronics Acquired by TransDigm for $47 Per Share
Deal News | Jun 30, 2025 | Globenewswire
Star Equity Fund, an investment fund renowned for bolstering shareholder value, has successfully facilitated the acquisition of Servotronics by TransDigm. This acquisition was formalized with a tender offer for all outstanding shares at a price of $47 per share, marking a 357% premium over Servotronics' closing price before the transaction's announcement. Star Equity Fund, which holds about 6% of Servotronics' common stock, urged the company to pursue strategic alternatives. Beginning with nominations and press releases dating back to 2022, Star Equity Fund's persistent efforts led to significant changes at the company, including the appointment of independent directors and divestiture of non-core assets. The resultant agreement with TransDigm validates the fund's vision and is expected to benefit shareholders, employees, and the executive structure at Servotronics.
Sectors
- Private Equity
- Aerospace and Defense
Geography
- United States – Both Star Equity Fund and Servotronics are based in the U.S., and the transaction involves U.S.-headquartered companies.
Industry
- Private Equity – This article involves a significant transaction driven by a private equity firm, Star Equity Fund, which advocates for shareholder value creation.
- Aerospace and Defense – TransDigm, known for designing, producing, and supplying components for aerospace and defense, is acquiring Servotronics.
Financials
- $47 per share – The acquisition price offered by TransDigm for all outstanding shares of Servotronics.
- 357% – Premium over Servotronics' closing price prior to the acquisition announcement.
- 6% – Percentage of Servotronics' common stock owned by Star Equity Fund.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Servotronics, Inc. | Target Company | Company | A company specializing in advanced technology products. |
| Star Equity Fund, LP | Selling Company | Company | An investment fund focused on engaging with portfolio companies to unlock shareholder value. |
| TransDigm Inc. | Bidding Company | Company | A company acquiring Servotronics, known for aerospace and defense components. |
| Evan Wax | Independent Director | Person | Significant shareholder and independent director appointed to Servotronics' board. |
| Brent Baird | Independent Director | Person | Significant shareholder and independent director appointed to Servotronics' board. |
| Jeff Eberwein | Portfolio Manager | Person | Portfolio Manager at Star Equity Fund overseeing the campaign leading to the acquisition. |
| Star Equity Holdings, Inc. | Parent Company of Star Equity Fund | Company | Parent company providing management for Star Equity Fund, involved in multiple business divisions. |