Canadian regional-airline holding company Chorus Aviation Inc. has reached agreement to buy 519222 Ontario Limited, a holding company that owns Canada-based, specialized international operator Voyageur Airways and its related companies.
Chorus Aviation, which is the parent of large Canadian regional carrier Jazz, will pay approximately C$80 million (US$63 million) for Voyageur Airways’ parent company and all its assets.
A Transport Canada-approved air operator, Voyageur Airways provides a number of specialized aviation services, including contract-flying operations both internationally and domestically, and offers advanced engineering and maintenance capabilities.
“We are very excited about this acquisition as it is a logical extension of our existing contract flying business model,” says Joe Randell, president and chief executive officer of Chorus Aviation Inc.
“This transaction also provides a strong platform to generate incremental revenue through an expanding customer base both internationally and domestically,” adds Randell. “Voyageur’s infrastructure and engineering capabilities will be logical additions to help maximize the value of surplus aircraft as our fleet transitions.”
“Voyageur will continue to be operated by its talented and experienced management team, led by Max Shapiro, focused on profitable growth,” Randell confirms.
Ontario-based Voyageur was founded almost 50 years ago in 1968, and is a private company. It is headquartered in a 200,000-square-foot facility in North Bay, Ontario.
One of the two aviation-services sectors in which Voyageur Airways primarily operates is specialized contract-flying operations. The company operates medical, logistical and humanitarian flights, mainly for government entities and international non-governmental organizations.
Voyageur Airways has a total of 18 aircraft, of which it owns 13 and leases five. As many as nine of the aircraft in its fleet are Bombardier CRJ200 regional jets and up to six are Bombardier Dash 8-300 turboprop regional airliners.
Currently operating in Canada, Africa and Central Asia, Voyageur Airways also operates at least one de Havilland Canada Dash 7 50-seat STOL turboprop and two Beechcraft A100 King Airs, which it uses both for passenger transport and as air ambulances.
According to Wikipedia, Voyageur’s customers include the United Nations and NATO, for which it has operated in countries such as Afghanistan, Democratic Republic of Congo, Chad, Ivory Coast and Sudan.
Voyageur Airways also offers specialized engineering and advanced maintenance operations. Certified by Transport Canada as a Design Approval Organization, Voyageur has developed a number of Supplemental Type Certificates for modifications and improvements to Bombardier regional airliners.
An ‘approved organization’ under Transport Canada, FAA and European Aviation Safety Agency regulations, Voyageur boasts in-house design-engineering and aircraft-modification capabilities for special-mission integration and support requirements, along with parts sales and manufacturing.
The company also has storage and parking capabilities for up to 65 regional airlines at its North Bay facility.
Voyageur also owns a small fixed-base operation at North Bay/Jack Garland Airport, which provides services such as aircraft fueling, ground handling and aircraft hangar and storage facilities.
For its most recent financial year, which ended on December 31, 2014, Voyageur generated approximately C$16.9 million in adjusted earnings before net interest expense, income taxes, and depreciation and amortization.
Chorus Aviation Inc. expects to close its purchase of Voyageur Airways’ parent in the second quarter of 2015.