Diatom Capital Acquires Industrial Electronics Services Inc.
'It's an exciting new chapter for our team, our customers, and the legacy we've built. We're proud to join forces with Diatom Capital and build our commitment to quality and on-time delivery.'— Kathy Mullins, CEO of Industrial Electronics Services, Inc.
CINCINNATI, OH, UNITED STATES, July 23, 2025 / EINPresswire.com / -- Diatom Capital, a private investment firm focused on accelerating growth and acquiring founder-led businesses in the aerospace and defense sectors, is pleased to announce the acquisition of Industrial Electronics Services Inc. (IES), a technology-based powerhouse providing design, manufacturing, and lifecycle management services for electronic products.
This strategic acquisition expands Diatom Capital's portfolio in aerospace, which includes Diatom Aviation, a recognized leader in the design, maintenance, and repair of air-cargo containers (ULDs, or Unit Load Devices) and Ground Support Equipment (GSE), and Midwest Aero Support (MAS) an FAA, EASA, and CAA-certified repair station specializing in the overhaul and repair of aircraft structures and components.
With Industrial Electronics Services' renowned electronic expertise and Diatom Capital's cutting-edge aviation solutions, the combined team is set to deliver next-level, turnkey infrastructure projects for military, aerospace, energy, transportation, medical, communications, and industrial markets.
'This is more than an acquisition — it's an alliance built to accelerate innovation in the aerospace and defense sectors,' said Burt Mattice, President of Diatom Capital and Diatom Aviation. 'Industrial Electronics Services's stellar reputation and skilled workforce are a natural fit for Diatom's mission to deliver Aviation Simplified™ by unlocking operational efficiencies and maximizing value for both customers and stakeholders.'
Diatom Capital's investment philosophy is centered on respect for legacy. Rather than reshaping a company's identity, Diatom seeks to honor what founders have built, partnering with founders and leadership teams to unlock sustainable, long-term growth while celebrating the culture and values that made the business successful.
IES will continue to operate from its facility in Gray, Tennessee, under its existing brand, while now benefiting from Diatom Capital's global infrastructure, capital investment, and strategic support.
'This merger marks an exciting new chapter for our team, our customers, and the legacy we've built,' said Kathy Mullins, CEO of IES. 'We're proud to join forces with a company that shares our values and commitment to quality and on-time delivery to drive our vision for the future. Together, we're positioned to achieve more than we ever could alone.'
This marks Diatom Capital's second acquisition this year, following its recent purchase of Midwest Aero Support — a move that expanded the company's component repair and maintenance capabilities and added to its regional footprint. Together, these acquisitions reinforce Diatom Capital's commitment to delivering integrated, end-to-end solutions across the aerospace and defense ecosystem.
About Industrial Electronics Services
Founded in 1989, Industrial Electronics Services Inc. (IES) is a technology-based company providing design, manufacturing, and lifecycle management services for electronic products. Serving value-centric clients across military, aerospace, energy, transportation, medical, communications, and industrial markets. IES partners with their customers at every stage of the process—research, development, production, packaging, distribution, and aftermarket support. IES leverages its expertise across their network, bringing our customers' visions to life with effective, tailored solutions.
About Diatom Capital
Diatom Capital is a private investment firm dedicated to accelerating growth and acquiring founder-led businesses in the aerospace and defense industries. Through its Aviation Simplified™ approach, Diatom invests in and scales aviation manufacturing and service providers—unlocking operational efficiencies and delivering long-term value for all stakeholders.
For more information, please visit diatomcapital.com.
###
Melinda S Meyer
MarketSpace Agency
+1 412-310-3262
email us here
Visit us on social media:
Legal Disclaimer:
EIN Presswire provides this news content 'as is' without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
38 minutes ago
- Yahoo
Trump Says U.S. Reached a Trade Deal With European Union
President Trump announced a trade agreement between the U.S. and the European Union after meeting European Commission President Ursula von der Leyen, marking his biggest deal so far. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNN
40 minutes ago
- CNN
Qatari plane that could be new Air Force One will be ‘unconditional' gift to the Pentagon, agreement says
Defense Secretary Pete Hegseth and his Qatari counterpart have signed an agreement outlining the terms of Qatar's 'unconditional donation' of a Boeing jet to the Pentagon, confirming that the US will pay nothing for the plane, according to a copy of the memorandum of understanding reviewed by CNN. The agreement, signed by Hegseth and Qatar's deputy prime minister and minister of state for defense affairs, Saoud bin Abdulrahman Al-Thani, on July 7, says the plane — which is expected to be used by President Donald Trump as Air Force One once it is upgraded — is a 'bona fide gift' to the Defense Department. 'This donation is made in good faith and in the spirit of cooperation and mutual support between the parties,' the document says. 'Nothing in this MoU is, or shall be interpreted or construed as, an offer, promise, or acceptance of any form of bribery, undue influence, or corrupt practice.' The memorandum, while signed by both parties, could still be tweaked ahead of a formal announcement, a source familiar with the matter said. The aircraft is parked in San Antonio awaiting upgrades, CNN has reported. CNN has reached out to the Office of the Secretary of Defense, the Air Force and the Qatari Embassy for comment. The MOU was first reported by The Washington Post. The transfer of the jet from Qatar to the Trump administration sparked a political firestorm in the spring as Democrats and several influential Republicans, including supporters of the president, said they opposed the potential deal on ethics grounds. It also caught Air Force officials off guard, CNN has reported. While the Air Force was exploring options for getting a replacement plane for Air Force One faster than Boeing could deliver the new jets it had been contracted to build, the Air Force was initially under the impression that any transaction with the Qataris would involve a sale of the plane — not a donation, defense officials said. But after news of the US-Qatar discussions became public, Trump repeatedly described the plane as a 'GIFT, FREE OF CHARGE.' The memorandum signed by Hegseth and Al-Thani emphasizes the transfer of the plane is 'unconditional' and that it is 'not connected or otherwise related to any governmental decision and, as such, is not made, offered, promised or accepted because of any past, present or future official act or decision and is not intended to obtain or retain any improper advantage or to influence any official decision.' But beyond the ethical and legal questions, retrofitting and installing the required security and communications equipment on a second-hand plane from another government, even a friendly one, is a monumental task. To fund the upgrades, the Air Force has sought to transfer hundreds of millions of dollars from the vastly overbudget Sentinel program to an unspecified classified project, according to sources familiar with a congressional notification about the transfer. Sentinel is a land-based intercontinental ballistic missile system that is being developed to replace the US' aging Minuteman III missiles. Officially, the price tag to retrofit the Qatari plane for use by the president is classified, the Air Force previously told CNN. Air Force Secretary Troy Meink told lawmakers last month that it will 'probably' cost less than $400 million. An addendum to the Defense Department-Qatar agreement reviewed by CNN says the Air Force 'is in the process of finalizing the transfer of registration and will immediately begin execution of the required modifications.'
CNN
40 minutes ago
- CNN
Watch Trump announce framework for a trade deal with EU
President Donald Trump announced that the United States and the European Union reached a framework for a trade deal, after talks with European Commission President Ursula von der Leyen in Turnberry, Scotland.
