Diploma buys US fastener maker Peerless for £236m

(Sharecast News) - Diploma said it had bought Peerless Aerospace Fastener, a distributor of specialty fasteners into the US and European aerospace markets for £236m. Based in Farmingdale, New York and founded in 1952, Peerless is an approved supplier to all major aerospace companies globally, primarily serving around 80 sub-contractors to the major equipment manufacturers.

"Aerospace fasteners represents a $7bn, highly fragmented addressable market. They are highly specialised products and amongst the most critical components in aircraft manufacturing. An aircraft contains around 1 million fasteners, representing up to 5% of total aircraft build value," Diploma said on Wednesday.

"There is currently a 10+ year backlog for commercial aircraft manufacture, and the combination of new build and ongoing maintenance supports sustainable long-term market growth."

Reporting by Frank Prenesti for Sharecast.com