Company: HEI-A
Filing Date: 2025-08-27
Form Type: 10-Q
Source: 0000046619-25-000062
Chunk: 15

Company: HEICO CORP
Filing Date: 2025-08-27
Form: 10-Q
Item: Item 1
Chunk 15
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 is an FAA and EASA-certified Part 145 Repair Station, specializing in the repair and support of new generation and legacy avionics systems and components.  Millennium offers comprehensive repair, overhaul, retrofit, and exchange services to its customers that include aircraft OEMs, fleet operators, repair businesses, and avionics brokers.  The remaining 10% interest continues to be owned by certain members of Millennium’s management team.  See Note 3, Selected Financial Statement Information - Redeemable Noncontrolling Interests, for additional information.  The total consideration includes an accrual of $11.5 million as of the acquisition date representing the estimated fair value of contingent consideration the Company may be obligated to pay should Millennium meet a certain earnings objective following the acquisition.  See Note 8, Fair Value Measurements, for additional information regarding the Company’s contingent consideration obligation.  The purchase price of this acquisition was principally paid in cash using proceeds from the Company's revolving credit facility and cash provided by operating activities, as well as through the issuance of 53,186 shares of HEICO Class A Common Stock and is not material or significant to the Company's condensed consolidated financial statements.In April 2025, the Company, through a subsidiary of HEICO Electronic, acquired 100% of the membership interests of Rosen Aviation, LLC ("Rosen").  Rosen designs and manufactures in-flight entertainment products, principally in-cabin displays and control panels, for the business and aviation markets.  The purchase price of this acquisition was paid in cash using cash provided by operating activities and is not material or significant to the Company's condensed consolidated financial statements.In July 2025, the Company, through HEICO Electronic, acquired 100% of the stock of Gables Engineering, Inc. ("Gables").  Gables designs and manufactures advanced solutions for aerospace platforms, including cockpit displays and other avionics components such as navigation, audio, surveillance, and communication panels for a wide range of aircraft.  The purchase price of this acquisition was paid in cash, using proceeds from the Company's revolving credit facility and is not material or significant to the Company's condensed consolidated financial statements.

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The following table summarizes the aggregate total consideration for the Company's fiscal 2025 acquisitions (in thousands):Cash paid $638,736 Less: cash acquired (8,846)Cash paid, net 629,890 Issuance of common stock for an acquisition10,123 Contingent consideration 11,509 Additional purchase consideration (129)