Story ID: 
StandardAero Eyes Vector Aerospace Acquisition
By: Kerry Lynch
Caption: The acquisition would create a company that employs more than 5,000 workers across nearly four dozen locations globally.
Word Count: 237
StandardAero has entered exclusive negotiations to acquire Vector Aerospace Holdings from Airbus in a move that would cement StandardAero’s position among the largest global maintenance, repair and overhaul providers. The companies still must sign definitive agreements and receive workers’ council and regulatory clearances for such an acquisition.

StandardAero already is a major presence in the MRO community, with more than 3,500 employees working in a dozen major facilities in North America, Europe, Asia and Australia, and an additional 13 regional service and support centers.

Acquiring Vector would add 2,200 employees at 22 locations across Canada, the U.S., the UK, France, Kenya, South Africa, Australia and Singapore. Toronto-based Vector, which generated $704.8 million in revenues in 2016, would bring expertise in turbine engines, dynamic components, airframe composites and avionics, as well as a business in conversions, modifications and refurbishments for fixed- and rotary-wing aircraft. The company counts corporate and private operators, government agencies, defense departments and commercial/airline operators among its 3,000 customers.

The negotiations come two years after private equity firm Veritas Capital purchased Scottsdale, Arizona-based StandardAero from Dubai Aerospace Enterprise for $2.1 billion and could lead to the second announced agreement this year for StandardAero. In March, it detailed plans to acquire PAS Technologies, which provides support services for the oil-and-gas sector, industrial-gas-turbine and aerospace markets.

Airbus, formerly EADS, acquired Vector in 2011 for $625 million, but in late 2015 reportedly began shopping the firm.