Cerberus Capital Management has agreed to acquire a substantial portion of Goodwin plc’s Mechanical Engineering Division for up to approximately £1.1 billion in cash, subject to customary purchase price adjustments.
The transaction includes Goodwin Steel Castings Limited, Goodwin International Limited, Noreva GmbH, Easat Group and Goodwin’s Pump Division. The businesses provide proprietary design, advanced manufacturing and engineering capabilities serving customers across aerospace and defense, nuclear, power and mining.
Goodwin’s Mechanical Engineering businesses serve customers globally, including the UK, U.S. and Australian navies, and support the AUKUS program.
Following completion, the operations will remain headquartered in Stoke-on-Trent, England, which will continue to serve as the primary manufacturing center. Cerberus plans to invest in expanding production capacity in the UK and build on the businesses’ relationship with the UK Ministry of Defence.
The acquisition is being made through Cerberus’ Supply Chain strategy, which focuses on businesses that the firm views as important to the economic and national security of Western-allied countries.
Since launching its first dedicated supply chain fund in 2022, Cerberus has completed more than two dozen investments across aerospace and defense, data and microelectronics, critical minerals and power, industrial manufacturing and next-generation telecommunications.
The transaction is expected to close during the first quarter of 2027, subject to regulatory approvals and other customary closing conditions.
UBS Investment Bank and J.P. Morgan Securities are acting as financial advisors to Cerberus, with Davis Polk & Wardwell serving as principal legal advisor.
KEY QUOTES:
“Our Supply Chain strategy seeks to support companies advancing technology leadership, industrial strength, and supply chain resilience for the US, UK, and our allies,” said Frank Bruno, Chief Executive Officer of Cerberus. “Our long-term commitment to steward the growth and success of the Mechanical Engineering Division of Goodwin shows how important we believe investments in leading UK companies are to advancing the collective security and resilience of all Western-allied nations.”
Frank Bruno, Chief Executive Officer of Cerberus
Michael Sanford, Global Head of Private Equity and Co-Head of Supply Chain investing at Cerberus, commented: “The Mechanical Engineering Division of Goodwin represents a collection of strengths that we intend to support and grow over time. With differentiated engineering expertise, advanced manufacturing operations, and long-standing positions within critical supply chains, these businesses are well positioned to meet growing customer demand. We look forward to their continued success and contributions to the enduring economic and collective defence relationships between the US, UK, and our allied partners around the world.”
Michael Sanford, Global Head of Private Equity and Co-Head of Supply Chain Investing at Cerberus
