Air Transport Services Group, Inc. said its subsidiary, Airborne Maintenance and Engineering Services, Inc. (AMES), has acquired PEMCO World Air Services, Inc., a privately held provider of outsourced heavy maintenance, repair and overhaul (MRO) aircraft services and passenger-to-freighter aircraft conversions.
Financial details of the acquisition were not revealed by ATSG, but the group did say that no PEMCO debt was assumed in connection with the acquisition.
ATSG said the acquisition will allow for a number of strategic benefits through combining operational strengths, expanded capabilities and cost savings related to shared services between the companies. The services of the combined AMES/PEMCO businesses will be marketed worldwide to customers as part of a comprehensive set of ATSG solutions, as well as to the ATSG affiliates.
Services will be offered from multiple locations, including Wilmington and Tampa for heavy maintenance and modifications, and Tampa, Central America and Asia for passenger-to-freighter conversions, the company added. Additional service offerings of aircraft-on-ground field teams, line and turnaround maintenance, component repair and overhaul, engineering repair and design, and extensive manufacturing and kitting capabilities, will be extended from various locations.
ATSG president and CEO Joe Hete said: “Based on PEMCO’s existing domestic and international scale, this acquisition will expand access to maintenance service for customers of ATSG’s expanding fleet of Boeing 767 cargo aircraft.
“It is consistent with our goal to diversify ATSG’s revenue and earnings, for an investment in the same price range as our planned and completed stakes in cargo airlines in China and Europe. The combination of PEMCO’s conversion and MRO sales of both Airbus and Boeing products with AMES’ existing offerings will create a sustained, growth-oriented aircraft maintenance product and services portfolio,” he added.