AE Industrial Partners (AEI) is a private equity firm specializing in aerospace, defense, and government services, including the space sector. Founded in 1998, AEI invests in market-leading companies, providing capital and expertise to drive growth. Their portfolio includes companies involved in small satellite manufacturing, launch services, and other space-related technologies, such as York Space Systems and Firefly Aerospace. AEI partners with organizations like Space Florida to expand aerospace industries and focuses on investments across private equity, venture capital, and aerospace leasing.
All verified mentions of this organization in source documents.
The RS-25 engine business is not included in AE Industrial Partners’ Rocketdyne acquisition.
AE Industrial Partners is acquiring 60 percent of Rocketdyne’s upper-stage propulsion assets from L3Harris Technologies in an $845 million carve-out.
AE Industrial Partners controls the RL10 upper-stage engine, in-space propulsion systems, nuclear power assets for exploration missions, and launch avionics in the Rocketdyne carve-out.
AE Industrial Partners is acquiring Rocketdyne’s upper-stage propulsion assets from L3Harris Technologies in an $845 million majority carve-out.
AE Industrial Partners will hold a 60 percent controlling stake in the Rocketdyne carve-out, and L3Harris Technologies will retain approximately 40 percent.
The Rocketdyne propulsion business is being carved out by AE Industrial Partners in an $845 million transaction.
L3Harris retained roughly 40 percent of its Space Propulsion and Power business as a strategic partner after the carve-out deal with AE Industrial Partners.
AE Industrial Partners executed a $629 million initial public offering for York Space Systems in January 2026 at a $4.75 billion valuation.
AE Industrial Partners signed a deal on January 5 to acquire a 60 percent controlling stake in L3Harris’s Space Propulsion and Power business for $845 million in total enterprise value.
AE Industrial Partners ran a competitive M&A auction process for York Space Systems before choosing the IPO route.
AE Industrial Partners acquired a 51 percent stake in York Space Systems in October 2022 at a $1.125 billion enterprise value.
AE Industrial Partners entered L3Harris’s Space Propulsion and Power business through an $845 million private-equity carve-out in January 2026.
AE Industrial Partners plans to restore the Rocketdyne name for L3Harris’s Space Propulsion and Power business.
L3Harris sold a 60% majority stake in its Space Propulsion and Power business to AE Industrial Partners for $845 million in January 2026.
AE Industrial Partners combined Firefly Aerospace, York Space Systems, and Rocketdyne propulsion heritage to construct a Virtual Prime aimed at vertical integration.
Tyler Letarte is Principal at AE Industrial Partners.
AE Industrial Partners remains the majority shareholder of York Space Systems following the IPO, retaining over 50% of the voting power.
Kirk Konert, Managing Partner of AE Industrial Partners, stated that strong space companies survived and got stronger during the M&A activity peak.
AE Industrial Partners manages $7.2 billion in assets from its headquarters in Boca Raton, Florida.
AE Industrial Partners has signed a definitive agreement to acquire a controlling interest in the Space Propulsion and Power Systems business of L3Harris Technologies.