Alliance Aviation Services has signed a share sale and purchase agreement for the acquisition of Toll Aviation Engineering, located at Brisbane Airport.
The “walk in, walk out” transaction will see Toll’s hangar at the airport, which is next door to Alliance’s current facilities, used for maintenance work on the company’s Embraer E190 aircraft, of which it acquired 14 back in August.
Alliance has agreed to a 20-year ground lease for Toll’s facility with Brisbane Airport, and once the acquisition is complete (it’s estimated to be done and dusted by the end of November), Toll Aviation Engineering will undergo a name change to Unity Aviation Maintenance (UAM).
UAM will retain its CASA Part 145 and Part 147 approvals, which include the approval for Embraer E-190 maintenance and training.
It will continue to provide third-party maintenance and overhaul services, and will be operated as a distinct subsidiary of Alliance. The vast majority of existing Toll staff will remain with UAM.
Alliance noted that the acquisition “is not a financially material transaction; however, is of great strategic value” to the company.
Scott McMillan, managing director of Alliance, said: “This transaction represents a unique opportunity to purchase a neighbouring business that is well-established and well-regarded in the aviation industry.
“The business is already certified to provide maintenance services on Embraer E190 aircraft, of which we have recently purchased 14 fleet units.
“This purchase will allow for a much smoother integration of the Embraer E190’s into revenue-generating services in the short term, and for a more efficient and financially sustainable line maintenance program in future years.”
Featured image source: Alliance Aviation Services