Mendoros sells aviation firm to Canadian giant
A NORTH West aerospace business has been snapped up by a Canadian listed group for up to £30m, net of £8m cash acquired.
Lancashire-based Euravia Engineering & Supply, whose majority shareholder is well-known businessman Dennis Medoros OBE, the former chairman of the North West Aerospace Alliance, has been bought by Magellan Aerospace.
The purchase price will be subject to final adjustments, including an amount based on earnings achieved by Kelbrook-based Euravia over the next two years.
Euravia provides maintenance, repair and overhaul solutions for a wide range of aircraft and helicopter gas turbine engines. It has an established international reputation for delivering high quality, cost effective engine support.
It also holds 19 international approvals supporting over 150 civil and defence customers in 50 different countries.
Euravia’s revenues for the fiscal year ending December 31, 2014 were approximately £14m. Post acquisition it will be managed through Magellan’s UK operations based at Blackpool and Wrexham.
Dennis Mendoros, Euravia’s chief executive said: “The acquisition by Magellan leads Euravia to the next development level, opening potential new business opportunities in North America and enabling us to offer enhanced customer support and dedicated aftersales service.
In addition, Magellan’s global reach augments Euravia’s existing partnerships in the Middle East, Asia-Pacific, and across Europe.”
Magellan’s president and chief executive Phillip Underwood added: “The acquisition of Euravia complements Magellan’s existing repair and overhaul capability in North America. Euravia has ann
excellent reputation for providing high quality MRO capabilities, supporting a global customer base,
and delivering exceptional customer service.”
Magellan’s shares trade on the Toronto Stock Exchange. It has operating units throughout Canada, the US, the UK, Poland and India.
Euravia was advised by a team from law firm Eversheds in Manchester. The team was led by corporate partners Alistair Cree and Chris Halliday, with support from Elizabeth Tindall, Annika Unsworth, David Smith and Michelle Upton.
Alistair Cree said: “The future partnership between Euravia and Magellan represents a strong alignment between two premium businesses and should provide real growth opportunities for both parties.”
