Key Takeaways
- • Audax Private Equity is exiting its majority stake in FDH Aero through a sale to Bain Capital Private Equity, with Audax retaining minority ownership; the transaction is expected to close in the second half of 2026.
- • FDH Aero has grown from a fastener distributor acquired by Audax in April 2017 into a diversified aerospace supply chain platform, generating revenue growth of over 15-fold through 12 add-on acquisitions and now operates three core divisions (Hardware, Electronics, and Defense Aftermarket) with 1,500 employees across 15 countries.
- • The global aviation MRO market exceeded $136 billion in 2025 (up 8% year-over-year) with projections reaching $193 billion by decade-end, driven by an aging commercial aircraft fleet averaging 13.4 years old and military MRO spending expected to grow ten times faster than the prior decade through 2035.
- • Bain Capital Fund XIV closed in October 2025 at $14 billion in total commitments, providing substantial capital backing for the acquisition and continued investment in FDH's capabilities, inventory, and customer-centric growth strategy.
- • CEO Ian Walsh, who joined FDH in February 2025 with 35+ years of aerospace, defense, and industrial experience including prior leadership at Kaman Aerospace, will continue leading the company under Bain's partnership while Audax maintains ongoing involvement.
Summary
Audax Private Equity is executing a planned exit from FDH Aero by selling its controlling stake to Bain Capital Private Equity, while retaining a minority interest in the aerospace and defense distributor. The transaction is slated to close in the second half of 2026. The sale represents a significant milestone for Audax's nine-year ownership period, during which the firm transformed FDH from a fastener-focused distributor into a diversified supply chain solutions platform serving the aerospace and defense sectors.
FDH Aero distributes hardware, electrical products, consumables, and expendables to OEMs and aftermarket customers, with product offerings spanning fasteners, fittings, connectors, wire and cable, adhesives, sealants, and chemical compounds used throughout aircraft production and maintenance. The company operates through three divisions—FDH Hardware, FDH Electronics, and FDH Defense Aftermarket—and serves commercial airlines, defense contractors, and cargo operators globally. Founded in 1964 and headquartered in Commerce, California, FDH maintains 1,500 employees across 15 countries and operates 650,000 square feet of inventory space. Under Audax's ownership beginning in April 2017, FDH completed 12 acquisitions that expanded its product portfolio and geographic footprint while growing revenue more than 15-fold. In 2024, Audax brought in Neuberger Berman as a minority investor through a recapitalization, a move that positioned the company for a larger institutional exit.
The transaction occurs against a backdrop of robust market fundamentals in aerospace maintenance and repair. The global aviation MRO market exceeded $136 billion in 2025, representing 8% growth year-over-year, with projections approaching $193 billion by the end of the decade, according to Oliver Wyman. A primary demand driver is the aging global commercial aircraft fleet, which averaged 13.4 years in 2025 compared to 12.1 years in 2024—a consequence of OEM production shortfalls and an unfilled order backlog exceeding 17,000 jets. Older fleets require more frequent maintenance cycles and parts replacement, directly benefiting distributors with deep inventory availability. The defense sector adds complementary growth momentum, with military MRO spending projected to accelerate at ten times the pace of the prior decade through 2035.
CEO Ian Walsh, appointed to lead FDH in February 2025, will continue in the role under Bain's partnership. Walsh brings 35+ years of experience across commercial aviation, aerospace, defense, and industrial sectors, most recently serving as chairman, president, and CEO of Kaman Aerospace. Bain Capital, headquartered in Boston and founded in 1984, closed its flagship Fund XIV in October 2025 at $14 billion in total commitments, exceeding its $10 billion target. The firm operates 24 offices across four continents with over 1,850 employees and invests across consumer and retail, financial and business services, healthcare, industrials, and technology sectors. Financial advisors to the transaction included Jefferies, RBC Capital Markets, and BMO Capital Markets for Bain (with committed debt financing), and William Blair for FDH and Audax.
FDH Aero distributes hardware, electrical products, consumables, and expendables to OEMs and aftermarket customers, with product offerings spanning fasteners, fittings, connectors, wire and cable, adhesives, sealants, and chemical compounds used throughout aircraft production and maintenance. The company operates through three divisions—FDH Hardware, FDH Electronics, and FDH Defense Aftermarket—and serves commercial airlines, defense contractors, and cargo operators globally. Founded in 1964 and headquartered in Commerce, California, FDH maintains 1,500 employees across 15 countries and operates 650,000 square feet of inventory space. Under Audax's ownership beginning in April 2017, FDH completed 12 acquisitions that expanded its product portfolio and geographic footprint while growing revenue more than 15-fold. In 2024, Audax brought in Neuberger Berman as a minority investor through a recapitalization, a move that positioned the company for a larger institutional exit.
The transaction occurs against a backdrop of robust market fundamentals in aerospace maintenance and repair. The global aviation MRO market exceeded $136 billion in 2025, representing 8% growth year-over-year, with projections approaching $193 billion by the end of the decade, according to Oliver Wyman. A primary demand driver is the aging global commercial aircraft fleet, which averaged 13.4 years in 2025 compared to 12.1 years in 2024—a consequence of OEM production shortfalls and an unfilled order backlog exceeding 17,000 jets. Older fleets require more frequent maintenance cycles and parts replacement, directly benefiting distributors with deep inventory availability. The defense sector adds complementary growth momentum, with military MRO spending projected to accelerate at ten times the pace of the prior decade through 2035.
CEO Ian Walsh, appointed to lead FDH in February 2025, will continue in the role under Bain's partnership. Walsh brings 35+ years of experience across commercial aviation, aerospace, defense, and industrial sectors, most recently serving as chairman, president, and CEO of Kaman Aerospace. Bain Capital, headquartered in Boston and founded in 1984, closed its flagship Fund XIV in October 2025 at $14 billion in total commitments, exceeding its $10 billion target. The firm operates 24 offices across four continents with over 1,850 employees and invests across consumer and retail, financial and business services, healthcare, industrials, and technology sectors. Financial advisors to the transaction included Jefferies, RBC Capital Markets, and BMO Capital Markets for Bain (with committed debt financing), and William Blair for FDH and Audax.
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