Tenax Aerospace, a provider of special mission aircraft and related services to U.S. government and commercial customers, said it has completed a refinancing that includes the buyout of its junior capital partner, Bain Capital Credit, consolidating ownership of the business under NTC Group.
The transaction concludes Bain Capital’s investment in Tenax and increases NTC principals’ ownership to approximately 80%, according to the company. NTC acquired Tenax in January 2018 for $218 million, supported by Bain Capital’s $75 million investment across Second Lien Notes, Holdco Notes, and common equity. Tenax said it partially repaid its Holdco Notes in 2022 and fully repaid the Second Lien Notes in 2024.
As part of the refinancing, Tenax secured additional senior debt facilities arranged by Regions Capital Markets, a division of Regions Bank, and brought in new junior capital providers led by AEA Private Debt. The company did not disclose the size of the new financing package.
Tenax said the refinancing supports its continued focus on “enduring” aviation programs tied to national security and the public interest. The company’s portfolio includes aerial fire suppression, airborne intelligence, surveillance and reconnaissance (ISR), training and testing, and other special mission services. Founded in 2001, Tenax is privately owned and headquartered in Ridgeland, Mississippi.
NTC Group, which focuses on aerospace, defense and specialty manufacturing, described its approach as a long-term, buy-and-hold ownership model aimed at transitioning family- and founder-owned businesses to investor ownership while preserving culture and prioritizing growth.
KEY QUOTES
“This transaction marks an important milestone for NTC/Tenax as it consolidates NTC principals’ ownership of the Company to approximately 80% and validates the success of our buy-and-hold investment model, centered on transitioning ownership of family and founder-owned businesses to investor-owned businesses focused on long term growth. We are very grateful for Bain Capital’s support around the initial acquisition of Tenax and for their partnership growing the business since 2018.”
Tom Foley, Chairman, NTC and Tenax
“I want to thank Bain Capital for supporting us at the outset and being excellent partners. We welcome our new junior capital providers, led by AEA Private Debt, to Tenax, and we look forward to a similarly successful partnership with them moving forward.”
Taran Bakker, Director, Tenax; Partner, NTC
“We’re excited for Tenax’s world class management team as they embark on this next chapter of growth and are confident NTC will continue to be thoughtful stewards of the business. We’re glad to have returned capital to our investors and bring this investment to a successful close.”
Matt Evans, Partner, Bain Capital; and Michael Ewald, Partner and Global Head of Bain Capital’s Private Credit Group
