Air Methods (AIRM) to Acquire Sundance Helicopters in $44M Deal
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Air Methods Corp (NASDAQ: AIRM) has entered into a definitive stock purchase agreement to acquire all of the outstanding shares of capital stock of Sundance Helicopters, Inc. (Sundance), a helicopter tour operator based in Las Vegas, Nevada.
Sundance is a leader in helicopter tour operations, focusing primarily on Grand Canyon helicopter tours, but also providing helicopter services to support fire fighting, natural resource agency operations, vertical lifts, aerial photography/motion pictures, news gathering, and aerial surveying. Sundance operates a fleet of 22 helicopters consisting of Eurocopter AS350s and EC130s, and has 150 employees. Air Methods will acquire Sundance for an aggregate purchase price of $44 million in cash on a debt-free basis, subject to working capital and other adjustments as provided in the stock purchase agreement. Air Methods believes this acquisition will be accretive to earnings per share. Upon closing, Sundance will become a wholly owned subsidiary of Air Methods. The transaction is contingent upon certain closing conditions described in the stock purchase agreement and the aircraft sale and purchase agreement, and the transaction is expected to close December 31, 2012.
Sundance generated consolidated revenue of approximately $52.3 million for the fiscal year ended March 31, 2012. The Company will fund the purchase price through its senior credit facility.
Sundance is a leader in helicopter tour operations, focusing primarily on Grand Canyon helicopter tours, but also providing helicopter services to support fire fighting, natural resource agency operations, vertical lifts, aerial photography/motion pictures, news gathering, and aerial surveying. Sundance operates a fleet of 22 helicopters consisting of Eurocopter AS350s and EC130s, and has 150 employees. Air Methods will acquire Sundance for an aggregate purchase price of $44 million in cash on a debt-free basis, subject to working capital and other adjustments as provided in the stock purchase agreement. Air Methods believes this acquisition will be accretive to earnings per share. Upon closing, Sundance will become a wholly owned subsidiary of Air Methods. The transaction is contingent upon certain closing conditions described in the stock purchase agreement and the aircraft sale and purchase agreement, and the transaction is expected to close December 31, 2012.
Sundance generated consolidated revenue of approximately $52.3 million for the fiscal year ended March 31, 2012. The Company will fund the purchase price through its senior credit facility.
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