United Industrial Corporation announced today that its subsidiary,AAI Services Corporation
, has signed an agreement to acquire Texas-basedMcTurbine
for $31m in cash.
A privately held, wholly owned subsidiary of M International Incorporated, McTurbine is involved in the maintenance, repair, and overhaul of military helicopter engines. The company is an authorised service centre for Honeywell and Goodrich Corporation, providing overhauls of T53 and T55 turboshaft helicopter engines, as well as T53 fuel control units and governors.
In the twelve months prior to June 30, 2006, McTurbine realised revenues of approximately $24m. McTurbine is expected to be immediately accretive to UIC's earnings.
Closure of the acquisition, which is expected to occur within the month, is subject to customary closing conditions and a net worth adjustment.