Global Aerospace Logistics, LLC, Etihad Airways Engineering L.L.C, and Advanced Military Maintenance Repair and Overhaul Center LLC Abu Dhabi Aviation in a reverse merger transaction.
May 01, 2024
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Global Aerospace Logistics, LLC, Etihad Airways Engineering L.L.C, and Advanced Military Maintenance Repair and Overhaul Center LLC offered to acquire Abu Dhabi Aviation (ADX:ADAVIATION) for AED 4 billion in a reverse merger transaction on October 17, 2022. As per the terms, ADQ Aviation transfer 100% of the issued share capital of Advanced Military Maintenance Repair and Overhaul Centre LLC (AMMROC), 100% of the issued share capital of Etihad Airways Engineering LLC (EYE), and 50% of the issued share capital of Global Aerospace Logistics LLC (GAL) to Abu Dhabi Aviation. As of May 3, 2023, shareholders of Abu Dhabi Aviation have approved issuing mandatory convertible bonds worth AED4,003,280,000 Emirati Dirhams (USD1.09 billion) to ADQ Aviation and Aerospace Services LLC after that entity sold MRO, engineering, and logistics businesses to Abu Dhabi Aviation. bonds will convert into 652,000,000 Abu Dhabi Aviation shares, given a conversion ratio of 6.14 for each new share. Abu Dhabi Aviation says that ratio was the result of financial and technical valuations. Each new share will be treated as fully paid and valued at AED1 ($0.27) and increase the issued share capital of Abu Dhabi Aviation to AED1,096,787,200 ($298.7 million). Following completion ADQ would own 59.44% stake of the issued share capital of the combined group.
The offer is subject to shareholders approval, and regulatory approvals. As of April 27, 2023, shareholders of Abu Dhabi Aviation have approved the transaction. As of May 3, 2023, the merger between Abu Dhabi Aviation and ADQ Aviation is expected to finalize this quarter with the new shares also due to list on the Abu Dhabi Stock Exchange (ADX) before June 30. Citigroup Saudi Arabia acted as financial advisor to ADQ.
Global Aerospace Logistics, LLC, Etihad Airways Engineering L.L.C, and Advanced Military Maintenance Repair and Overhaul Center LLC completed the acquisition of Abu Dhabi Aviation (ADX:ADAVIATION) in a reverse merger transaction on May 2, 2024.
Abu Dhabi Aviation is a United Arab Emirates-based national shareholding company that acts as a commercial helicopter operator with a fleet comprised of 54 helicopters and three fixed-wing aircrafts. The Company, along with its subsidiaries, undertakes charter, commercial, air cargo and other related services. The Company is organized into four business segments: the Helicopter and Fixed Wing Operations segment provides charter flights and third party maintenance; the Commercial Aircraft Operations segment provides commercial air transportation and aircraft management; the Air Cargo segment provides air cargo services to local and international customers using its fleet of aircrafts and chartered aircraft, and the Investment segment is involved the management of the Companyâs investment portfolio. The Company's activity is in support of Abu Dhabi offshore oil, engineering and construction companies, among others.
Global Aerospace Logistics, LLC, Etihad Airways Engineering L.L.C, and Advanced Military Maintenance Repair and Overhaul Center LLC Abu Dhabi Aviation in a reverse merger transaction.