Oklahoma City: Acorn Capital Management, a private equity firm specializing in aerospace, defense, intelligence, and space sectors, has announced the successful closing of a single-asset continuation fund for Sentry Aerospares. The transaction, co-led by Kline Hill Partners and LSV Advisors, aims to extend Acorn’s partnership with Sentry Aerospares and support the company’s ambitious global growth plans. Financial details of the deal remain undisclosed.
Sentry Aerospares is a leading global distributor of high-value, hard-to-find commercial aircraft rotable components, serving over 600 clients worldwide, including airlines, lessors, cargo operators, and maintenance, repair, and overhaul (MRO) providers. The continuation fund not only provides liquidity to existing investors but also secures new capital commitments to fuel both organic growth and strategic acquisitions.
Rick Nagel, managing partner at Acorn Capital Management, expressed enthusiasm about the transaction, stating it offers existing investors a solid return while enabling Acorn to deepen its collaboration with Sentry’s management team and founders, who remain significant shareholders. He emphasized the firm’s confidence in Sentry’s market position and future prospects.
This continuation fund follows Acorn’s initial investment in Aerospares 2000 in December 2019 and the subsequent merger with Sentry Aerospace in July 2022, which led to the rebranding as Sentry Aerospares in October 2022. Since then, the company has more than doubled in size and established itself as the premier independent stocking distributor of high-value minimum equipment list rotables, with transatlantic stocking locations and a reputation for rapid Aircraft on Ground (AOG) support and unmatched inventory availability.
Greg Agnew, partner at Acorn, highlighted the firm’s conviction in Sentry Aerospares’ value proposition and its leadership in the global aviation aftermarket. He noted that the new capital will be instrumental in accelerating the company’s momentum through strategic investments, including inventory expansion, technology upgrades, and potential acquisitions aimed at enhancing supply chain resilience and customer service.
Founders Adam Nemenyi and Tony DiSimone, respectively of Aerospares 2000 and Sentry Aerospace, underscored the ongoing commercial synergies and growth opportunities following their merger. They welcomed the fresh capital commitments as a robust foundation for continued expansion.
David Swanson, managing director at Kline Hill Partners, expressed satisfaction in partnering with Acorn and Sentry Aerospares, recognizing the company’s differentiated business model and its strong positioning for the next phase of growth.
UBS Investment Bank acted as financial advisor to Acorn Capital Management, with Proskauer Rose LLP serving as primary legal counsel. Sentry Aerospares received legal advice from Hill Dickinson LLP and Hartzog Conger Cason LLP.
This continuation fund transaction marks a significant milestone in Acorn Capital Management’s commitment to supporting Sentry Aerospares’ growth trajectory and reinforcing its leadership in the global aerospace aftermarket.
