23rd May 2018 10:28
LONDON (Alliance News) - FTSE 250-listed aviation services provider BBA Aviation PLC said on Wednesday it plans to acquire fuel supplier EPIC Aviation LLC, trading as EPIC Fuels for USD88.1 million.
Since EPIC is currently the fuel card partner of BBA subsidiary Signature Flight Support, the acquisition will allow Signature to have full management of the fuel card programme, as well as associated transaction processing and data capture, in order to provide an improved service offering.
BBA also will acquire EPIC's QTPod technology for self-fuelling AvGas services. EPIC currently provides fuel and fuel-related services to 205 fixed-base operator locations.
For the first full year of ownership, EPIC Fuels is expected to contribute USD400 million to revenue, BBA Aviation said. The acquisition is subject to governmental and regulatory approvals and is expected to be completed in the third quarter of 2018.
"We are pleased to have reached an agreement to acquire EPIC. This acquisition fully supports the strategic development of Signature through increasing our network relevance, extending the range of fuel and non-fuel services we offer our customers across our unique FBO network and continuing to establish a competitive cost structure through investment in technology and economies of scale," said BBA Aviation Chief Executive Mark Johnstone.
BBA Aviation will publish its interim results on August 1.
Shares in BBA Aviation were down 1.3% at 330.80 pence on Wednesday.
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