UK firm confirms merger talks with DAE
London, August 27, 2013
British aircraft services company BBA Aviation confirmed talks to merge with parts of Dubai Aerospace Enterprise (DAE), and said it had bought US firm Maguire Aviation for $69 million.
BBA's shares opened 6 percent higher on Tuesday after it said talks with Dubai government-owned DAE were at a preliminary stage.
Its statement came after a Sunday Times report, citing no sources, said that BBA was in talks with DAE-owned StandardAero over a 2.7 billion pound ($4.21 billion) merger.
StandardAero, a US-based engine repair and maintenance business, confirmed the talks on Monday.
BBA Aviation, which specialises in servicing business jets, said its acquisition of Maguire Aviation at Van Nuys airport in Los Angeles is expected to be accretive to earnings in the first year of ownership. - Reuters