Magnetic MRO’s major shareholder, BaltCap, along with other minority shareholders are selling 100% of the shares in the Estonian organisation to China’s Guangzhou Hangxin Aviation Technology for €43 million (equity value).
An indicative closing date is planned for the end of March following the fulfillment of all regulatory requirements.
“We are pleased to welcome Hangxin as our shareholder at a time when we are focused on expanding our global presence,” said CEO of Magnetic MRO, Risto Mäeots. He added: “Magnetic MRO management has been actively looking for opportunities to expand into Asia, the highest growth market in aviation. Hangxin, with its existing geographical presence and service portfolio, is complementary to Magnetic MRO, creating substantial synergies and new business opportunities.”
Lv Haibo, vice president of Hangxin, said the company welcomed Magnetic MRO, adding: “We fully support the existing strategy and executive management team, and will support Magnetic MRO’s focus on continuing to deliver value to its existing customers, and expanding its global MRO presence.”
Magnetic MRO has grown substantially over the past five years, with employee numbers increasing from 160 to over 440. In a statement the organisation said sales had increased “exponentially” from 2010-2017 and were expected to grow at a similar rate over the coming years.