August

Canaccord Genuity Hawkpoint initiates £784 million acquisition of Dunlop Standard Aerospace and advises Meggitt on its £408 million acquisition of the design & manufacturing division

Dunlop Standard Aerospace Group consists of two different aerospace business that were originally bought out of BTR by Doughty Hanson in 1998: An aerospace engine repair and overhaul business and a design and manufacturing business.

In early January 2004 Hawkpoint suggested to Meggitt, The Carlyle Group and Doughty Hanson that, in the absence of a single logical trade bidder for the whole, a combination of Meggitt and Carlyle would make a perfect solution to Doughty's desire to realise its investment in Dunlop Standard Aerospace Group since the predominantly Canadian/US aerospace engine repair and overhaul division would complement Carlyle's portfolio but it would not be interested in the UK based design and manufacturing division, which is a perfect fit for Meggitt.

In mid January, Doughty Hanson engaged JP Morgan to run a formal sale process to dispose of Dunlop Standard.

The joint Carlyle/Meggitt bid won the auction and was announced on 5 July 2004. Meggitt is funding its half of the purchase price of the design and manufacturing division with a combination of debt and a fully underwritten 3 for 7 deeply-disounted rights issue. Completion is expected to occur in mid August.

Canaccord Genuity Hawkpoint initiated the transaction, which resulted in a sale process of Dunlop Standard Aerospace being conducted by JP Morgan on behalf of Doughty Hanson.

Canaccord Genuity Hawkpoint subsequently acted as joint financial adviser to Meggitt in its successful joint bid with The Carlyle Group for the company.

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