StandardAero Aviation Holdings has acquired Vector Aerospace from Airbus in a move that fortifies its position among the major maintenance, repair and overhaul (MRO) organizations. Combined annual revenues total $3 billion, and the work force includes 6,000 employees across 42 locations worldwide. Terms of the acquisition, which was announced Friday, were not disclosed.
Airbus and StandardAero revealed four months ago that they entered exclusive negotiations over the sale of Vector. Airbus, formerly EADS, had acquired Vector in 2011 for $625 million, but in late 2015 reportedly began shopping the firm.
The acquisition brings to StandardAero an entity that generated $700 million in revenues in 2016 and employed 2,200 workers in 22 locations across Canada, the U.S., the UK, France, Kenya, South Africa, Australia and Singapore.
“Our combined organizations are better positioned to provide the industry with more global services, expanded MRO capabilities and operational benefits to deliver faster, higher quality solutions to our combined customers worldwide,” said StandardAero CEO Russell Ford.
This acquisition expands StandardAero’s capabilities on Pratt & Whitney Canada PT6 and PW100 turboprop engines and significantly extends its reach in the civilian and military helicopter-engine MRO market, including on the M250, PT6T, Arriel 1 and 2, T58/CT58 and T700/CT7 engines, Ford said. “Vector also brings along new helicopter airframe and components services/support aligned with major OEMs like Boeing, Sikorsky, Airbus Helicopters and Bell Helicopter.”
The combined entity will operate under the StandardAero brand. “This is a great opportunity to bring together two successful entities,” Ford said, citing a number of benefits from the merger, including opportunities for better operational efficiency and turn times, value-added custom offerings and expanded research and development expertise. The merger further offers an expanded global presence “to improve our products, reliability and aftermarket support network and services; and [enable] better overall service and highly responsive customer experience,” Ford said.
This is the second major StandardAero purchase since March, when it announced plans to acquire PAS Technologies, a support services company for the oil-and-gas sector, industrial-gas-turbine and aerospace markets. While StandardAero is substantially boosting its MRO and support capabilities, the company also is shrinking in the completions arena with the decision to shutter its VIP completions specialist Associated Air Center at year-end.
The moves come two years after private equity firm Veritas Capital purchased Scottsdale, Arizona-based StandardAero from Dubai Aerospace Enterprise for $2.1 billion.