QinetiQ’s €70 Million Acquisition of E.I.S. Aircraft Group’s Aviation Operations Business

Orrick advised leading private equity investor EQT Mid Market on the sale of airborne training services business E.I.S. Aircraft Operations, part of E.I.S. Aircraft Group, to UK-based QinetiQ Group.

QinetiQ Group plc announces that it has entered into an agreement to acquire E.I.S. Aircraft Operations (“Aircraft Operations” or “the Business”), currently part of E.I.S. Aircraft Group, for €70 million on a cash-free, debt-free basis.

Aircraft Operations is a leading provider of airborne training services based in Germany, delivering threat representation and operational readiness for military customers. It generated €20.1m revenue and €5.4m EBITDA in the year to 31 December 2017.

Aircraft Operations delivers airborne training services using a highly cost-effective fleet of 14 leased Pilatus PC-9 and PC-12 aircraft, flown by a team of 20 pilots.

The Business has well established relationships with its customers. It has been the exclusive provider of low-speed aerial training services to the German armed forces since 1999, and delivers aerial training services to the United States Air Force in Europe. It also modifies aircraft for special missions through the integration of sensors and digital systems used in Intelligence, Surveillance and Reconnaissance (“ISR”).

The business currently forms a discrete business unit within the wider E.I.S Aircraft Group which is owned by EQT and focuses on aircraft interiors for the commercial aerospace market.

The transaction is subject to certain regulatory and legal approvals and is expected to close towards the end of the first half of QinetiQ’s 2019 financial year.

Following completion, Aircraft Operations will continue to be led by its existing management team. It will form part of QinetiQ’s International business unit and will be reported within QinetiQ’s EMEA Services division.

Orrick advised EQT Mid Market on the transaction with a team including Christoph Brenner (Picture), Christoph Rödter (partner, M&A and Private Equity), Till Steinvorth (partner, Antitrust & Competition), Stefan Schultes-Schnitzlein (partner, Tax), André Zimmermann (partner, Employment), Christian Schröder (partner, Data Privacy IT/IP), Andrea Köhler (managing associate, M&A and Private Equity), Bernhard Schmaderer (managing associate, M&A and Private Equity), Markus Schmid (managing associate, M&A and Private Equity), Markus Piontek (associate, Tax), Louisa Kallhoff (associate, Employment), and Amelie von Alten (associate, Data Privacy IT/IP).

Involved fees earner: Christoph Brenner – Orrick; Christoph Rödter – Orrick; Andrea Köhler – Orrick; Bernhard Schmaderer – Orrick; Markus Schmid – Orrick; Stefan Schultes-Schnitzlein – Orrick; Markus Piontek – Orrick; André Zimmermann – Orrick; Louisa Kallhoff – Orrick; Christian Schröder – Orrick; Amelie von Alten – Orrick;

Law Firms: Orrick;

Clients: EQT Partners;