Gama Aviation has agreed to buy UK-based special mission helicopter business Specialist Aviation Services for £280,000 (about $353,000) as part of a pre-pack acquisition from its appointed administrators.
The deal adds further scale and strength to Gama’s Special Mission business unit with some £27m of annual revenue, three significant UK air ambulance charity contracts, six managed Leonardo AW169 aircraft, and two more national security contracts in the Middle East, according to the company. The added capability complements the addition of a Leonardo Service Center in Staverton, Gloucestershire, by the Special Mission SBU.
“This acquisition accelerates our growth in our Special Mission SBU, adding scale in the UK, building on our recent contract wins with, amongst others, the Welsh Air Ambulance, and opening new international operations in the Middle East to complement our established fixed-wing aircraft management and MRO capability in the region,” commented Gama Aviation group CEO Marwan Khalek.
“We believe that there is considerable potential within the trade and assets of this business, that over the medium term will enhance the prospects of the Special Mission SBU. However, given the nature of the acquisition, our immediate priority is to ensure continuity of service for the UK air ambulance charities such that they are able to maintain their life-saving operations.”
Gama Aviation’s Special Mission SBU emerged out of a strategic review in 2020 when the company identified several potential acquisition targets. It identified Specialist as one of those businesses.
Specialist claims a long history of operating helicopters in the UK with a focus on special mission customers. In recent years, it has expanded its capabilities in maintenance and grew internationally with new contracts in the Middle East, for example.
Starting in 2021, the business went through operational and financial restructuring exercises, including the sale of aircraft to pursue an “asset light” business model. While these actions had improved the underlying prospects of Specialist, the company determined that its capital structure was unsustainable, leading to its conclusion that the company’s business outlook would improve if part of a larger group with balance sheet strength.