Chorus Aviation (Chorus) has agreed to acquire SkyCare Air Ambulance, the largest private fixed-wing air ambulance operator in Northern Ontario, for about C$40 million as it seeks to expand its business and strengthen cash flow.
The acquisition is expected to close in the fourth quarter of 2026, subject to customary closing conditions and adjustments. The total consideration includes contingent payments linked to performance targets.
Chorus will pay C$32 million in cash, with the remaining consideration due by March 31, 2029, subject to the achievement of specified performance targets.
The company expects the acquisition to immediately boost earnings and free cash flow from completion. The deal is consistent with its capital allocation strategy, which prioritises investment opportunities targeting returns in the mid-teens while supporting stable cash generation and long-term shareholder value.
Chorus expects to generate about C$500 million to C$550 million in free cash flow and net proceeds from aircraft sales between 2026 and 2029. The funds are expected to support investment in growth opportunities targeting mid-teens unlevered returns, alongside dividends and share repurchases.
