Mumbai-based independent aviation maintenance, repair & overhaul (MRO) services provider Air Works India Engineering Pvt Ltd, has acquired a minority stake in Acumen Aviation Europe Ltd, for an undisclosed amount, the company said in a release.
With this acquisition, Air Works has entered into aircraft asset management business, building greater presence in Europe, Asia and the US.
VCCircle had first reported that Air Works is in advanced talks to acquire a firm engaged in ancillary services related to aviation business.
“The complementary nature of our individual business’ expertise will improve our service delivery model, thus enhancing the customer experience while achieving business objectives," said Alok Anand, chairman, Acumen Aviation.
Acumen Aviation was founded in 2009 and provides aircraft asset management services. It offers technology-enabled solutions like technical asset management and records management. Acumen Aviation has operations in Ireland and India.
Acumen recently opened its regional office in China to cater to existing customers and the burgeoning leasing industry in East and Southeast Asia.
"The aircraft leasing industry continues to expand as more and more airlines focus on their operations and move to an asset light model of using leased aircraft – we are highly optimistic about Acumen’s long term growth prospects,” said Vivek Gour, managing director of Air Works.
Bangalore will continue to be a hub for delivery and software development while business development and technical management activities will be centered around Ireland (Acumen’s headquarters), the US and China. Acumen will continue to operate independently.
Founded in 1951 by PS Menon and late BG Menon, Air Works provides aviation services qualified to maintain 50 types of aircraft for over 100 customers across 15 maintenance locations in India. It has operations in India, the UK, the Middle East and Southeast Asia.
In 2007, GTI and Punj Lloyd together invested $25 million in the company. Later in 2010, GTI made a further investment of $27 million in the company along with NEA for an approximate 30 per cent equity stake.
Air Works went on to raise another $4.7 million in 2011 from Elephant Capital at a pre-money valuation of $50 million, for the acquisition of MRO business of an established competitor, InterGlobe General Aviation (IGGA).