CIRCOR Aerospace, the aerospace division of CIRCOR International and a maker of fluid control, pneumatic, electromechanical and actuation components, is being sold by KKR to Parker Hannifin in a $2.55 billion transaction.

The business supplies commercial aerospace and defense markets, and the sale is expected to close in the second half of 2026 subject to customary conditions and regulatory approvals.

Parker Hannifin manufactures motion and control technologies.

The combination brings together CIRCOR Aerospace’s flow-control products and subsystems with Parker Hannifin’s aerospace and defense product portfolio.

KKR acquired CIRCOR International in 2023 for $1.8 billion through its North America Fund XIII.

After the CIRCOR Aerospace sale closes, KKR will retain CIRCOR’s Naval and Industrial businesses, which continue to serve defense modernization and supply chain resilience themes.

CIRCOR launched a broad-based employee ownership program in early 2024.

At closing, all CIRCOR employees are expected to receive a dividend distribution funded by a portion of sale proceeds and tied to continued performance of the retained Industrial and Naval businesses.

LLC and Evercore advised KKR and CIRCOR as financial advisors.

Kirkland & Ellis LLP served as legal advisor.