BUSINESS

Permier Aviation Overhaul poised to buy Quebec repair shop from Discovery Air

06/22/2015 08:44 EDT | Updated 06/22/2016 05:59 EDT
MONTREAL - There's a tentative deal to sell Discovery Air Technical Services, which overhauls and modifies regional aircraft at a facility in Quebec City.

Under the agreement, it would be purchased from Discovery Air Inc. (TSX:DA.A) by Premier Aviation Overhaul Centre Inc. subject to several conditions.

Financial terms weren't revealed in the companies' joint announcement Monday. The deal is expected to close by the end of August.

Premier Aviation currently operates two Canadian shops in Trois Rivieres, Que., and Windsor, Ont., and one in the United States in Rome, N.Y.

"This is one more significant step in our strategic growth plan," said Ronnie Di Bartolo, Premier's president and chief executive.

"The DATS facility's focus and recognized expertise on regional aircraft will help provide the capacity Premier needs in this growing segment of our market."

DATS is a wholly owned subsidiary of Discovery air, which operates 150 aircraft and performs a variety of aviation services including medical evacuations, fir-fighting and charter flights.