Erickson buying Evergreen Helicopters for $250 million
PORTLAND, Ore. (AP) — Erickson Air-Crane Inc. is buying Evergreen Helicopters Inc. from Evergreen International Aviation Inc. for $250 million in cash, stock and promissory notes.
The company said after the markets closed Tuesday that the deal will transform its business, making it a leader in heavy-lift helicopter operations.
Evergreen, based in McMinnville, Ore., provides air transport services for cargo and personnel to government and commercial customers. The deal includes a fleet of 64 aircraft, consisting of both helicopters and fixed-wing airplanes. The company's operations, often used by the military, span the globe. It generated revenue of $196 million in 2012.
Erickson, based in Portland, Ore., makes heavy-lift helicopters and provides heavy-lift helicopter services, such as those needed in firefighting and timber harvesting. The company will have a combined fleet of 100 aircraft after the deal and estimated annual revenue of $430 million.
Erickson will pay $185 million in cash and $17.5 million in unsecured promissory notes issued by Erickson Air-Crane, and approximately four million convertible preferred shares of Erickson Air-Crane valued at $47.5 million.
Erickson may pay up to an additional $26.3 million if Evergreen meets certain revenue targets over the next three years.
The deal is expected to close during the second quarter of this year.
The company said after the markets closed Tuesday that the deal will transform its business, making it a leader in heavy-lift helicopter operations.
Evergreen, based in McMinnville, Ore., provides air transport services for cargo and personnel to government and commercial customers. The deal includes a fleet of 64 aircraft, consisting of both helicopters and fixed-wing airplanes. The company's operations, often used by the military, span the globe. It generated revenue of $196 million in 2012.
Erickson, based in Portland, Ore., makes heavy-lift helicopters and provides heavy-lift helicopter services, such as those needed in firefighting and timber harvesting. The company will have a combined fleet of 100 aircraft after the deal and estimated annual revenue of $430 million.
Erickson will pay $185 million in cash and $17.5 million in unsecured promissory notes issued by Erickson Air-Crane, and approximately four million convertible preferred shares of Erickson Air-Crane valued at $47.5 million.
Erickson may pay up to an additional $26.3 million if Evergreen meets certain revenue targets over the next three years.
The deal is expected to close during the second quarter of this year.
No more government contracts. Can't afford them.
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