UK-based private equity firm Sullivan Street Partners is nearing an agreement to acquire the aerostructures division of London-listed engineering group Senior, according to a report by Bloomberg citing sources familiar with the matter.
The proposed transaction, which could be finalised in the coming weeks, would value the unit at approximately £200m ($268m) including debt. The business supplies critical components to major aerospace manufacturers Airbus and Boeing.
Sullivan Street, which focuses on UK lower mid-market investments, is understood to be the frontrunner in the competitive process, outpacing rival suitor Aurelius. While negotiations are said to be in an advanced stage, there remains the possibility that discussions could be delayed or fall through.
Senior has been pursuing a divestment of the aerostructures arm since 2019, working with Lazard on the process. In a recent trading update, the company confirmed that “detailed discussions with parties are ongoing” and cited “further good progress” on the sale.
Proceeds from the divestment are expected to support Senior’s strategic focus on its remaining businesses, which include fluid conveyance systems, thermal management, and integrated sub-systems. The group operates across 12 countries and has stated it anticipates “good growth” in 2025, buoyed by aerospace sector demand.
Shares in Senior rose as much as 2.3% on Wednesday following media reports on the potential deal, though the stock remains down approximately 15% year-to-date, with a current market capitalisation of £566m.
Sullivan Street has been active in UK industrials, recently acquiring three marine infrastructure businesses. The firm typically seeks controlling stakes in operationally complex businesses undergoing transition.
