What's Happening?
Private equity firm CORE Industrial Partners has expanded its presence in the Maintenance, Repair, and Overhaul (MRO) sector by acquiring Florida-based Airway Aerospace through its holding company, AxioAero Group. This acquisition follows CORE's previous purchase of Aviation Concepts (ACI), a parts provider and inventory management specialist. The integration of ACI's parts distribution network with Airway's repair services is expected to enhance turnaround times and provide greater value to customers. According to research by Accenture for Inside MRO, private equity-led deals constituted nearly 20% of M&A activity in the MRO sector during the first half of 2025, a trend that has continued into 2026. Airway Aerospace, founded in 2013, offers
MRO services across commercial, cargo, and defense aviation markets, focusing on accessories, airframe, and powerplant repairs.
Why It's Important?
The acquisition of Airway Aerospace by CORE Industrial Partners highlights the growing interest of private equity firms in the MRO sector, which is seen as offering predictable and recurring repair volumes with clear scaling opportunities. This trend is significant as it indicates a shift in investment strategies towards sectors with stable demand and growth potential. The integration of Airway's repair capabilities with ACI's distribution network is likely to enhance service efficiency and customer satisfaction, potentially setting a precedent for future MRO sector consolidations. The involvement of major private equity players like Bain Capital, HIG Capital, and Greenbriar Equity in similar investments underscores the sector's attractiveness and the potential for further consolidation and innovation.
What's Next?
Following the acquisition, Airway Aerospace will continue to operate under its existing name and leadership, suggesting a focus on maintaining operational stability while leveraging the synergies from the merger. The MRO sector may see increased competition as more private equity firms seek to capitalize on its growth potential. This could lead to further mergers and acquisitions, driving innovation and efficiency improvements. Stakeholders in the aviation industry, including airlines and component manufacturers, may benefit from enhanced service offerings and reduced turnaround times, potentially leading to cost savings and improved operational efficiency.
