By A.J. Kaufman, Managing Editor
Diatom Capital, a private investment firm focused on accelerating growth and acquiring businesses in the aerospace and defense sectors, recently announced the acquisition of Tri-Cities based Industrial Electronics Services Inc. (IES). IES is a technology-based powerhouse providing design, manufacturing and lifecycle management services for electronic products.
A press release claimed that with IES’ “renowned electronic expertise and Diatom Capital’s cutting-edge aviation solutions,” the combined teams are prepared to deliver next-level, turnkey infrastructure projects for military, aerospace, energy, transportation, medical, communications and industrial markets.
“This merger marks an exciting new chapter for our team, our customers, and the legacy we’ve built,” IES President and CEO Kathy Mullins explained via press release. “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.”
IES will continue to operate from its facility in Gray, Tenn., under its existing brand, while now benefiting from Diatom Capital’s global infrastructure, capital investment, and strategic support.
“This is more than an acquisition — it’s an alliance built to accelerate innovation in the aerospace and defense sectors,” Diatom Capital and Aviation President Burt Mattice said in a press release. “Industrial Electronics Services’ 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.”
Founded in 1989 by Mullins and her husband, Larry, IES is a technology-based company providing design, manufacturing, and lifecycle management services for electronic products. They serve “value-centric clients” across military, aerospace, energy, transportation, medical, communications and industrial markets.
Begun with “two employees and a dream,” Larry Mullins was working with Northeast State as director of the training program. The school was training students in hand soldering and other technical skills that would eventually benefit Mullins’ future business.
“He was contacted by Texas Instruments, who were in a bind and needing people to repair circuit boards,” Kathy Mullins explained to the Business Journal. “He was able to piece together a team that would work inside the TI plant and eventually they would have their own one room facility. Larry and I worked together to grow the two people into the 37,000 square feet and 70 employees that call IES home today.”
Mullins explains that IES employees perform highly specialized labor to build circuit boards that are used all over the world, and space for that matter!
“Larry used to say, ‘Mars to Cars,’ because we have boards in the Mars Curiosity Rover, race cars, military vehicles, aircraft, medical equipment and everything in between,” Mullins said. “We are a hidden gem in the Tri-Cities community. Our employees have a heart for what we do, and that’s what makes them special. They know the importance of these life saving devices that they are building and take pride in what they do every day.”
