Loar Holdings Inc. completed its acquisition of LMB Fans & Motors on December 26, 2025, paying €367 million in cash at closing and assuming the target’s debt. The transaction adds a high‑performance fan and motor business that has generated 100 % of its revenue from proprietary designs and operates with a 60‑year legacy of engineering excellence.
The deal aligns with Loar’s strategy of acquiring niche, proprietary capabilities that can be leveraged across its aerospace and defense portfolio. LMB’s 2,000‑plus product line and 75‑person workforce will broaden Loar’s aftermarket offering and deepen its presence in European defense markets, where Loar has been expanding its footprint through prior acquisitions.
Financially, LMB is projected to contribute roughly $60 million in revenue and $30 million in Adjusted EBITDA for the fiscal year ending December 31, 2026. Loar’s 2024 net sales were $402.8 million, and its 2025 guidance (excluding LMB) ranges from $482 million to $490 million. The acquisition therefore represents an additional 12 % of revenue and a 6 % boost to EBITDA for the coming year, reinforcing Loar’s growth trajectory.
The purchase was financed entirely in cash, which reduced Loar’s cash reserves and increased its debt load. The assumption of LMB’s debt is reflected on the balance sheet, but the transaction is expected to be accretive to earnings once integration costs are absorbed.
CEO Dirkson Charles said, “We are thrilled to officially welcome LMB to the Loar family. LMB aligns perfectly with our strategy of combining niche and proprietary capabilities to serve both our original equipment and aftermarket customers. We believe LMB’s culture of innovation, combined with Loar’s broader resources, will drive shared growth.” The statement underscores the expected synergies and cultural fit.
Loar’s acquisition history—18 completed deals since 2012—has been a key driver of its recent record sales and upward guidance revisions. The LMB transaction received clearance under the French foreign direct investment screening procedure, confirming regulatory support for the deal’s strategic fit.
Segmentally, Loar’s aerospace and defense components and aftermarket businesses are the primary beneficiaries of the LMB addition. The new fan and motor capabilities will enhance product offerings in the European defense segment, where Loar has been targeting growth through complementary technologies.
While the announcement highlights the strategic benefits, integration challenges and market headwinds—such as potential cultural differences and the need to align supply chains—remain considerations for the post‑deal period.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.