Ares Management (ARES, Financials) has acquired a majority stake in Form Technologies, a global producer of precision-engineered components, through a $304 million equity investment.
Form Technologies said the investment consists of $150 million in preferred stock given by the D. E. Shaw group and Ripple Industries, plus $154 million in ordinary equity given by Ares, the D. E. Shaw group, and Onex Credit.
Form Technologies pointed out that the money will be used to support strategic projects like operational improvements and commercial expansion as well as to help to lower debt. According to the statement, the firm has 32 production plants in 22 countries and services about 2,000 customers in areas like automotive, aerospace, healthcare, and business technologies.
The business said that in recent years, its strategic repositioning initiatives have concentrated on strengthening its market position in precision-engineered components. Form Technologies projects that the cooperation with Ares Management will help to support these goals even further.
Ares Management noted in the announcement that Form Technologies has made significant commercial advancement after its 2021 first investment. Ares ascribed this to the company's technical prowess and capacity to meet consumer demands throughout many markets.
This article first appeared on GuruFocus.免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。