Posted by John McHale
LEIDEN, The Netherlands, 29 March 2011. Canada's Vector Aerospace Corp. and Eurocopter Holding, -- owned by EADS -- have signed an agreement whereby Eurocopter Holding will acquire Vector Aerospace -- a provider of multi-platform helicopter maintenance, repair, and overhaul (MRO) services -- by way of a take-over bid.
The board of directors of Vector Aerospace unanimously approved the offer. This acquisition is accretive for EADS and also has been approved by the EADS board of directors. The offer states Vector Aerospace's equity at approximately $625 million Canadian. Vector Aerospace, which employs some 2,500 persons, will maintain, and develop its brand name. Eurocopter Holding is the parent company of Eurocopter. The Eurocopter group employs approximately 17,500 people.
"This acquisition perfectly fits EADS' Vision 2020 strategy, increasing services, strengthening the helicopter business, international, and more specifically North American exposure while keeping a good balance between military and civil activities," says Louis Gallois, chief executive officer of EADS. It is also an excellent investment opportunity for Eurocopter, as Vector Aerospace has proven resilient and profitable growth. EADS sees in this acquisition a potential for synergies and value creation for our shareholders."
Already present in the small engine MRO segment through its SECA holding,
EADS will be able to improve its commercial and geographical coverage as well as enhance its service offering in that field.
Completion of the transaction will enable Eurocopter to capitalize on its own commercial network together with Vector Aerospace's offering in order to extend its presence in North America and England. Vector Aerospace will benefit from Eurocopter's global footprint and presence in 25 countries to develop in fast growing markets such as Asia and Latin America.
"This opportunity will provide the Eurocopter group with a high-level of expertise, especially in public-private partnerships for the maintenance on governmental aircraft," says Lutz Bertling, chief executive officer of Eurocopter Holding. "The complementary nature of our worldwide network of subsidiaries and Vector Aerospace's own network will enable us to develop our activities jointly, both faster and more efficiently. Vector Aerospace will be managed as an independent multi-customer platform MRO."
"We are delighted to join EADS and Eurocopter," says Declan O’Shea, chief executive officer of Vector Aerospace. "We believe that being part of the Eurocopter group will allow Vector Aerospace and our people to pursue our long history of profitable growth and excellent levels of quality and customer service. Vector Aerospace’s business will be complementary to Eurocopter's services activities, in serving multi-customer platforms."
Posted by John McHale