VSE Corporation (VSE) has disclosed that it has successfully finalised its acquisition of Precision Aviation Group (PAG), a portfolio company of GenNx360 Capital Partners (GenNx), in a transaction valued at approximately US$2.025 billion in cash and equity.
“Today marks a significant milestone in executing our strategy to build a focused, high-quality aviation aftermarket platform,” said John Cuomo, President and Chief Executive Officer of VSE. “The addition of PAG meaningfully expands our global footprint, strengthens our repair capabilities, and enhances our ability to deliver integrated, end-to-end solutions to our customers.”
“Today marks a significant milestone in executing our strategy to build a focused, high-quality aviation aftermarket platform,” stated John Cuomo, President and Chief Executive Officer of VSE. “The addition of PAG meaningfully expands our global footprint, strengthens our repair capabilities, and enhances our ability to deliver integrated, end-to-end solutions to our customers.
Cuomo continued: “With the transaction closed, our focus shifts to integration and synergy realisation through cross-selling, repair insourcing, and procurement efficiencies. PAG’s margin profile is immediately accretive and supports a clear path to exceeding 20% consolidated Adjusted EBITDA margins over time.”
Details of the transaction include a purchase price of approximately US$2.025 billion, comprising US$1.75 billion in cash and around US$275 million in equity issued to GenNx, exchangeable for VSE common stock. The agreement also includes a potential earnout payment of up to US$125 million, subject to PAG’s 2026 performance targets.
The acquisition was financed through proceeds from VSE’s February 2026 equity and tangible equity unit offerings, together with US$900 million raised under a new Term Loan B facility maturing in 2033.
VSE said further details on the combined company’s outlook, capital structure and integration plans will be provided alongside its first-quarter 2026 earnings results.
