CNI buys state-based aerospace company
STILWELL, Okla. – On Feb. 23, Cherokee Nation Industries completed its acquisition of Red Wing Products Inc., a Kellyville-based plant that manufactures and assembles electronic parts for the U.S. Department of Defense and the aerospace industry.
According to a CNI press release, Red Wing has nearly 35 years of experience in the aerospace businesses, assembling electronic airplane parts such as wiring, cabling, harnesses, kitting, machined and fabricated electro/mechanical parts and more.
CNI, a wholly-owned company of the Cherokee Nation, has 40 years of experience in the electrical components field manufacturing many similar products, the release states.
“Red Wing currently produces many similar products in the same sector as Cherokee Nation Industries, making it an attractive fit to CNI’s portfolio of businesses,” Bryan Collins, CNI CEO, said. “It gives CNI new capabilities with its machine shop, more production space and an already trained workforce, but also many new opportunities into some areas that CNI has not yet penetrated.”
CNI officials said CNI possesses a growing aerospace and defense unit, which is outgrowing its space and capacity at the company’s Stilwell facility. That growth has created a need for space, an expanded workforce and integration capabilities. The Red Wing acquisition adds 30,000 square feet of production space to CNI’s workforce and approximately 30 employees, CNI officials said.
According to the CNI press release, Red Wing and CNI share a similar market niche, and Red Wing’s competency in producing certain small parts should eliminate some parts outsourcing that CNI engages in. By acquiring Red Wing, CNI expects to save approximately $1 million on outsourced parts, while offering clients more of a “total package” approach.
“These added competencies will help CNI expand its market share and penetrate areas we haven’t been able to, up until now. We also have the opportunity to take Red Wing to an 8(a), tribally-owned status, further enhancing our attractiveness to potential clients,” Collins said. “This is really a perfect fit for our company. Many of Red Wing’s clients have also been long-time customers and business associates of Cherokee Nation Industries and we look forward to continuing those relationships.”
Collins said he is confident the Red Wing acquisition would help continue the growth in CNI’s aerospace business sector.
“Red Wing has been known for many years for its quality products. With the leadership of CNI and the resourcefulness of the Cherokee Nation, Red Wing will have the support necessary to continue that commitment to their customers in the aerospace community,” he said.
Collins said the newly acquired company would be known as Cherokee Nation Red Wing, to leverage the strength and reputation of both the CN name as well as Red Wing’s.