July 22, 2013
Erickson Air-Crane announces definitive purchase agreement for Air Amazonia Aerial Services business
Erickson Air-Crane, Incorporated has signed a definitive purchase agreement to acquire Air Amazonia Serviços Aeronauticos Ltda. (“Air Amazonia”), the aviation services division of HRT Participações em Petróleo S.A., as well as a fleet of six aircraft and ground facilities. The Company expects the transaction to close in the third quarter, following the satisfaction of certain customary closing conditions. Pursuant to the agreement, Erickson will pay $23.0 m at closing for the business, which includes a fully operational fleet of 6 rotary-wing aircraft of varying types and mission capabilities, and an additional $3.0m within twelve months of closing as consideration for the achievement of certain milestones. In conjunction with the acquisition, Erickson Air-Crane will enter into a five year aerial services contract (including annual renewal options) with HRT to provide rotary-wing aircraft services to support their oil & gas activities in the Solimoes region. Erickson expects to service the contract with the 6 aircraft acquired from HRT in addition to deploying 2 currently idle aircraft from our fleet. The aerial services contract will provide Erickson with minimum revenue of $29m per year.