Clearwater’s Debt Advisory team has advised Arlington Industries Group on raising a cross-border facility. The €110m asset based financing solution structured by Apollo Management International LLP has been raised to refinance the existing business and to raise funds for the acquisition of the Wahler thermostat business from US Fortune 500 company, BorgWarner. This is the second deal in which Clearwater Debt Advisory has advised management, following the debt raise for the acquisition of Magal Engineering Group in 2017.
Arlington Industries, backed by US private equity fund Cartesian Capital Group, is a British automotive and aerospace components manufacturer and provider of supply chain integration to global OEMs. The Wahler acquisition will provide new technology and manufacturing synergies to a wider base of OEMs and Tier One customers, as well as providing its Arlington Automotive division with an established aftermarket business.
With its headquarters in Oberboihingen, Wahler has manufacturing operations in Germany, Hungary, US, Brazil and China. The transaction complements the existing Magal and Dauphinoise Thomson brands and will provide thermal management technology in combustion, hybrid and electric vehicles. Alongside this, Arlington Engineered Systems will provide electrical, fluid and air, mechanical and aftermarket module assemblies.
The complex, cross-border refinancing, undertaken to fund future growth, incorporates facilities in the UK, Germany, France, US and Brazil.
