Loar Holdings Inc., a U.S. aerospace component manufacturer, is set to acquire French cooling systems specialist LMB in a blockbuster €365 million ($382 million) deal. The move, announced Thursday, underscores Loar’s aggressive strategy to fortify its proprietary portfolio while reinforcing its presence in the global aviation and defense sectors.

A Strategic Power Play

As part of the agreement, Loar will assume LMB’s outstanding debt and finance the transaction through a combination of loans and internal cash reserves. The acquisition, still subject to regulatory approvals, is expected to close in the third quarter of 2025.

LMB, a 60-year-old French manufacturer, specializes in high-performance fans and cooling systems for the aerospace, naval, and defense industries. Headquartered in Malemort sur Corrèze, France, the company operates with over 75 employees globally, supplying critical cooling solutions to military and commercial aircraft.

Loar’s Expansion Spree and Financial Strength

The acquisition marks a pivotal moment for Loar, which went public on the New York Stock Exchange in April 2024. The company has aggressively positioned itself as a key player in niche aerospace and defense components, catering to commercial aircraft, military systems, and aviation technologies.

Loar also announced record-breaking preliminary financial results for 2024, reporting pre-tax profits between $145.2 million and $146 million, a significant leap from the $112.7 million earned in the previous year. The company is expected to release full earnings on March 31.

What’s Next?

While regulatory approval remains a final hurdle, the LMB acquisition signals Loar’s ambitions to dominate specialized aerospace engineering. With proprietary technology at its core, LMB’s expertise in precision cooling solutions is set to strengthen Loar’s hold in high-demand aviation markets.

Neither Loar nor LMB has provided further comments, and legal counsel for both parties remains undisclosed. However, with this deal in motion, Loar is poised to reshape its competitive footprint in aerospace innovation.