Howmet Aerospace completed the acquisition of Stanley Black & Decker’s Consolidated Aerospace Manufacturing (CAM) business on April 6 2026, paying approximately $1.8 billion in cash. The deal adds a portfolio of aerospace fastener and component manufacturing assets that complement Howmet’s Engine Products, Fastening Systems, and Engineered Structures segments.
The cash consideration was funded through a combination of Howmet’s available cash, a $1.2 billion Notes offering, and $600 million of borrowings under its commercial paper program or other debt facilities. The transaction is fully financed and does not require additional equity issuance.
CAM, known for brands such as Aerofit, Voss, and QRP, generated FY 2025 revenue of $405–$415 million and an adjusted EBITDA margin in the high‑teens. Howmet projects CAM to produce FY 2026 revenue of $485–$495 million with an adjusted EBITDA margin exceeding 20% before synergies. The acquisition expands Howmet’s capacity and product breadth, positioning the company to serve commercial and defense customers more effectively.
John C. Plant, Executive Chairman and CEO of Howmet Aerospace, said, “The acquisition of CAM is a major step in our strategy to build out our differentiated fastener portfolio. CAM’s established brands, engineering prowess, and deep customer relationships are a perfect complement to our existing business. This transaction will allow us to better serve our aerospace and defense customers with a broader offering of mission‑critical fastening solutions and represents a compelling use of capital to drive value for our shareholders.”
Stanley Black & Decker’s decision to divest CAM reflects its focus on core brands and debt reduction. Chris Nelson, President and CEO of Stanley Black & Decker, said, “Divesting CAM reflects our ongoing dedication to enhancing shareholder value and focusing on growing our biggest brands and businesses. The proceeds from this transaction are expected to significantly reduce our debt, positioning us to achieve our target leverage ratio of at or around 2.5 times net debt to adjusted EBITDA by year end, and enabling additional capital allocation opportunities. We remain committed to disciplined capital allocation and accelerating value creation for our shareholders.”
Howmet’s Q4 2025 results—revenue of $2.2 billion, up 15% year‑over‑year, and adjusted EPS of $1.05, up 42% versus $0.74 in Q4 2024—provide a strong foundation for the acquisition. The company’s FY 2026 guidance of $9.0–$9.2 billion in revenue and $2.71–$2.81 billion in adjusted EBITDA reflects confidence that the CAM addition will accelerate growth and profitability. Management expects the combination of synergies and tax benefits to deliver a FY 2026 adjusted EBITDA transaction multiple of approximately 13×, underscoring the accretive nature of the deal.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.