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.
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