Astronics Corporation (ATRO) Announces Acquisition of Envoy Aerospace

Astronics Corporation (NASDAQ:ATRO) is among the 10 Best Small Cap Defense Stocks to Buy According to Hedge Funds. On July 8, the company announced the acquisition of Envoy Aerospace, a provider of FAA Organization Designation Authorization (ODA) services, for approximately $8 million.

The strategic acquisition is expected to strengthen Astronics Corporation’s (NASDAQ:ATRO) capabilities in aircraft connectivity, cabin modifications, and in-seat power. The FAA ODA will also streamline the process for the company to obtain FAA Supplemental Type Certificates (STCs) and Parts Manufacturer Approvals (PMAs) for its products and services.

This added expertise augurs well for Astronics Corporation (NASDAQ:ATRO) amid strong demand for aircraft modifications related to cabin reconfigurations, connectivity, and lease returns, especially given the limited availability of ODA services.

Mike Kuehn, President of Astronics Connectivity Systems and Certifications (CSC), stated the following on the acquisition:

“Envoy Aerospace’s extensive experience and trusted reputation as an ODA make them a perfect fit for Astronics, supporting our strategic thrust for Inflight Entertainment and Connectivity. This will enable dedicated access to ODA services for our collective Astronics and Envoy customers to obtain FAA STCs and PMAs for our products.”

Astronics Corporation (NASDAQ:ATRO) provides advanced technologies to global aerospace, defense, and electronics clients. Some of its offerings include lighting and safety systems, aircraft electronics integration, automated test systems, and distribution and motion systems. The stock has surged 121% YTD, as of the close of business on July 15.

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Disclosure: None.