Signature Aviation to sell engine repairs business for US$230m

]BENGALURU] Takeover target Signature Aviation said on Wednesday it had agreed to sell its engine repairs business to US-based StandardAero for US$230 million, looking to streamline its business and focus on cash-generating areas of the operation.

The London-listed company had been looking to offload the division for a few years, with the sale coming at a time when the airline industry has been pummelled by the coronavirus crisis.

Signature has also been part of a months-long takeover battle, and this month backed an offer from Gatwick owner GIP, Blackstone and Bill Gates' investment vehicle.

Formerly known as BBA Aviation, Signature said it expects the sale to be completed this year, with the net proceeds of about US$140 million to be partly used to cut debt.

REUTERS