AxleTech International Acquired by The Carlyle Group

Jan. 7, 2015
Global alternative asset manager The Carlyle Group has acquired AxleTech International, a global engineering and manufacturing company for off-highway and specialty vehicle drivetrain systems and components, from General Dynamics Corporation.

Global alternative asset manager The Carlyle Group (NASDAQ: CG) has acquired AxleTech International, a global engineering and manufacturing company for off-highway and specialty vehicle drivetrain systems and components, from General Dynamics Corporation.

Terms of the transaction were not disclosed. Carlyle previously owned the business from 2005 to 2008.

Mary Petrovich, CEO of AxleTech from 2002-2011, will rejoin the firm as Executive Chairman. Joe Mejaly, who joined the business in May 2014 as General Manager, will become CEO under Carlyle’s ownership.

Carlyle Managing Director Adam Glucksman said, “In partnership with Mary and Joe we will help AxleTech grow its market share through a relentless commitment to innovation, quality and service. We are delighted Mary is rejoining the firm as Executive Chairman. She is a remarkable leader with a track record of value creation for her customers and our investors.”

Petrovich said, “AxleTech has a rich 100-year history that offers its customers a broad portfolio of products, extensive market expertise and talented employees. I am eager to work with Joe, who brings a wealth of experience in off- and on-highway products, with strong skills in the aftermarket. Joe will drive the business to ensure satisfied customers with a singular perspective committed to its unique markets and capabilities.”

Mejaly said, “AxleTech’s management team and workforce is focused aggressively on being faster to market with the right components and systems, and prioritizing improved interactions with all customers, both current and potential.”