ST Engineering’s aerospace arm acquires remaining shareholding of S-PRO

ST Aerospace Systems has acquired the remaining 50% stake in Singapore Precision Repair and Overhaul (S-PRO), from Messier-Bugatti-Dowty (Safran), for a cash consideration of US$8.15m. Following the acquisition, S-PRO will become a wholly-owned subsidiary of ST Aerospace Systems, which in turn is a wholly-owned subsidiary of Singapore Technologies Aerospace (ST Aerospace), the aerospace arm of ST Engineering. The purchase consideration was arrived at, after negotiations between the parties, taking into consideration S-PRO’s past performance, its current profitability and future growth prospects. S-PRO, based in Singapore, specialises in the repair and overhaul of aircraft landing gear systems and components. It had audited net assets of $24.4m as at 31 December 2014. This acquisition is the result of the shareholders’ ongoing review of the business strategy and focus for S-PRO. The acquisition aligns with ST Aerospace’s strategy to develop its Singapore base as the centre of excellence for landing gear maintenance, repair and overhaul. S-PRO has concurrently signed an agreement with Messier-Bugatti-Dowty, to remain as an authorised service centre for the latter’s landing gears installed on turboprops, helicopters and regional jets, as well as wheels, brakes and hydraulic components installed on various aircraft types.