(Alliance News) - Air Partner PLC said Thursday it has acquired global aviation security solutions and training company Redline Worldwide Ltd for GBP10.0 million.
The aviation services firm said the deal consideration includes an initial payment of GBP8.0 million payable on completion and an additional payment of up to GBP2.0 million over two years post completion.
Air Partner said the acquisition is being funded from its existing cash and debt facilities and the issue of new ordinary shares to the management shareholders of Redline.
The company expects Redline acquisition to be earnings enhancing in its first full year of ownership.
Redline, which is based at the National Security Training Center at Doncaster Sheffield Airport, recorded a pretax loss of GBP700,000 and revenue of GBP6.5 million for the year ended March 31. It had gross assets of GBP2.0 million.
Mark Briffa, chief executive officer of Air Partner, said: "This acquisition further extends our services into aviation security, and combined with our existing aviation safety activities, enables us to deliver a compelling suite of aviation safety and security products and services, both physically and digitally, to a high-quality global customer base."
Air Partner shares were up 3.4% in London at 94.72 pence each on Thursday.
By Loreta Juodagalvyte; loretajuodagalvyte@alliancenews.com
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