BBA Aviation agrees sale of six fixed-based operations

BBA Aviation has sold six fix-based operations for $190m in cash to affiliates of KSL Capital Partners as agreed with the US Department of Justice under the terms of the regulatory approval for the acquisition of Landmark Aviation.

As previously announced on 3 February, under the terms of the regulatory approval in connection with the acquisition of Landmark Aviation, BBA was required to sell six legacy Landmark FBOs which together contributed $16.1m of earnings before interest, tax, depreciation and amortisation in 2014.

Proceeds of the transaction will be used to repay existing debt facilities, including the $150m short-term debt facility raised as part of the financing package for the transaction.

Chief executive Simon Pryce said: "We are pleased to announce this successful disposal, which follows the transformational acquisition of Landmark Aviation.

"Since completing the acquisition in February, we have made good progress with the integration which is proceeding to plan. We look forward to updating the market in due course as we realise the full potential of the expanded group."

At 0935 GMT, BBA shares were up 2.3% to 202.20p.