Daily2018-02-20

LATEST NEWS

Tuesday, January 21th, 2020

BAE invests US$2.2bn on two acquisitions to strengthen U.S. electronic systems foothold

BAE Systems plc (BAE), the British multinational defense, security and aerospace company, has announced that it is to make two major purchases in the U.S. – the military Global Positioning System (GPS) business belonging to Collins Aerospace, and the Airborne Tactical Radios (ATR)  business belonging to Raytheon.

The opportunity to acquire two sector-appropriate businesses has come about through the antitrust requirements set out for the impending merger of Raytheon, and United Technologies Corporation which is the parent company of Collins Aerospace. Both acquisitions comprise asset transactions with tax benefits with BAE paying US$1.925bn in cash for Collins Aerospace’s GPS business which will have an expected tax benefit of US$365m, and US$275m in cash for Raytheon’s ATR business, which will have an anticipated tax benefit of US$50m.

“As militaries around the world increasingly operate in contested environments, the industry-leading, battle-tested products of these two businesses will complement and extend our existing portfolio of solutions we offer our customers,” said Jerry DeMuro, CEO of BAE Systems, Inc. “This unique opportunity to acquire critical radio and GPS capabilities strengthens our position as a leading provider of defense electronics and communications systems, and further supports our alignment with the modernization priorities of the U.S. military and its partners.”

According to BAE’s announcement, these proposed acquisitions are subject to the successful closure of the Raytheon-UTC transaction, as well as the satisfaction of other customary closing conditions, including receipt of the required U.S. regulatory approvals. Upon closure, both business lines would be integrated into the company’s Electronic Systems sector.

“These are strong businesses with talented employees who share our focus on quality and technology innovation,” said Tom Arseneault, President and COO of BAE Systems, Inc. “We are confident of a smooth transition that will accelerate our future together and look forward to welcoming these new employees to the BAE Systems team once the transactions are approved.”

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Charlotte Svensson named new CIO for SAS

SAS has released that Charlotte Svensson has been appointed to new executive vice president and Chief Information Officer (CIO) as of February 1, 2020. Svensson will succeed Mattias Forsberg who in October announced he is leaving SAS for a new position as CIO at Svenska Handelsbanken.

Svensson has a broad background and experience with different industries. Her recent position as a part of PostNord’s Group Leadership team she was responsible for handling one of the largest transformations within the logistic industry, the mail business, as well as building a new profitable digital revenue stream. Prior to Postnord she was CIO and CDO at Bonnier News and CTO of Bonnier Group.

StandardAero acquires TRS Global Services subsidiary, TRS Ireland

StandardAero has acquired TRS Global Services subsidiary, TRS Ireland, a highly specialized provider of component repair and manufacturing processes for a large range of industrial, aeroderivative and aircraft gas turbines. The acquisition will continue to expand StandardAero’s
Components, Helicopters & Accessories (CH&A) division and its worldwide portfolio of MRO and component repair services.

TRS Ireland is a privately held company operating from Cork, Ireland, with nearly 70,000 ft ² of MRO operations and more than 100 employees. The company has a large installed base of current customers that includes Siemans, GE, Rolls-Royce, MTU, Safran, ITC, Doncasters and many others.

TRS Ireland has extensive experience as an OEM-approved specialty coating provider of engine component repair and MRO services on blades, vanes and other hot section components for both new engines and a rising number of mature engines and a variety of applications. The company has more than 180 OEM approvals/licenses and unique FAA and EASA certifications.


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Philippine Airlines leases two De Havilland Canada Dash 8-400 aircraft from TrueNoord

Specialist regional aircraft lessor, TrueNoord, is leasing two new Dash 8-400 aircraft to Philippine Airlines on long term operating lease agreements. MSN 4610 has been delivered and MSN 4612 will join the fleet in February.

These aircraft are the first Dash 8-400 aircraft manufactured by De Havilland Aircraft of Canada Limited to enter service in TrueNoord’s portfolio and have been financed within the new US$360 million warehouse facility which was announced last October and is underwritten by Citibank, Société Générale and Royal Bank of Canada.

The Dash 8-400 aircraft will enter PAL’s commercial service in February and will be based at Clark International Airport, flying domestic routes throughout the Philippine archipelago of over 7,600 islands.

Aergo Capital reports successful fourth quarter

Aergo Capital has announced that during the fourth quarter of 2019 and the beginning of January 2020 the company has completed the sale of six aircraft and the acquisition of three aircraft.

The dispositions included sales of one Airbus A330-200 and one Airbus A330-300 aircraft on lease to Qatar Airways, one Boeing 737-900ER aircraft on lease to Lion Air, one Airbus A320-200 aircraft on lease to Smartlynx, one A321-200 aircraft on lease to Air Transat and one Boeing 737-800 aircraft on lease to Sun Country.

On the purchase side, Aergo has successfully completed the acquisition of two Airbus A321-200 aircraft on lease to Bamboo Airways and one Boeing 737-800 aircraft on lease to Lion Air.

Aergo’s fleet compromises of a mix of wide-body, narrow-body and turboprop aircraft with an average age of 7 years and a weighted-average lease term remaining of over 8 years. At present, Aergo owns and manages over 40 aircraft, diversified across 16 lessees in 14 countries.

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Airstream arranges lease of ATR 42-500 aircraft to interCaribbean

Aircraft remarketing specialist Airstream International Group has arranged the lease of an ATR 42-500 aircraft on behalf of Gladiator Leasing Limited. The 2003 manufacture aircraft, serial number 621, was leased to interCaribbean Airways.

Airstream continues to enjoy a close relationship with Gladiator Leasing Limited and Erste Bank, having remarketed a number of their aircraft, and is pleased to have arranged the acquisition of interCaribbean’s first ATR42-500.

MTU Maintenance opens office in Dublin

MTU Maintenance, a global leader in customized solutions for aero engines, has opened an office in the heart of aviation leasing community birthplace Dublin.

Located in the Victorian quarter, the office is being run by leasing experts Eileen Guerin, Vice President Commercial Ireland and Des Clarke, Vice President Technical and Strategy Ireland, on behalf of MTU Maintenance Lease Services B.V., the group’s leasing arm headquartered in Amsterdam. They will be responsible for growing and intensifying MTU Maintenance’s leasing and asset management activities in Ireland.

“This move is a natural next step in our global yet local growth strategy and gives us immediate proximity to the well-established aviation and leasing scene in Dublin,” says Martin Friis-Petersen, Senior Vice President MRO Programs, MTU Aero Engines. “This in turn enables us to efficiently and directly serve the community with the customized, lessor-oriented MRO solutions the industry requires as lease durations shorten and the overall number of lease transitions increases.” 

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Centurion Law Group leads market entry of Turkish Airlines into Equatorial Guinea

Pan-African law firm Centurion Law Group has led the entry of Turkish Airlines into Malabo, Equatorial Guinea. Operations on the new route will commence on February 7, 2020. The entry of Turkish Airlines into Equatorial Guinea supports the objectives of the year of investment initiative led by the Ministry of Mines and Hyrocarbons.

As part of its mission to open new routes and expand its fleet in 2020, Turkish Airlines has added Malabo, Equatorial Guinea to its route network. The new service will link the existing Nigeria, Port Harcourt route and will operate in rotation: Istanbul – Port Harcourt  – Malabo  – Istanbul.

Acumen Aviation and Blueberry Aviation announce co-operation agreement

Acumen Aviation and Blueberry Aviation, both leading Aircraft Asset Managers, have announced a co-operation agreement.

This agreement draws from the strength of each party and provides both with a greater combined opportunity to support their growing client base. Services provided will offer cradle to grave asset management from evaluation and sourcing aircraft to managing day to day requirements through to transitions and re-marketing.

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