Business Irish

Tuesday 15 October 2019

Star Capital to buy Dublin-based ASL Aviation in deal likely worth more than €100m

One of ASL's cargo carriers
One of ASL's cargo carriers
John Mulligan

John Mulligan

European fund manager Star Capital has agreed to buy Dublin-based ASL Aviation in a deal likely worth more than €100m.

A global aviation services company, ASL operates a fleet of 130 aircraft and its operations include cargo and passenger activities. Its customers include Aer Lingus.

The firm is 51pc-owned by Compagnie Maritime Belge, a major shipping company based in Antwerp. The remainder is owned by 3P Air Freighters, a firm that is majority owned by Bank Degroof Petercam, a Brussels-based financial institution.

Star Capital has a track record of taking stakes in companies with enterprise values of between €50m and €1bn.

Terms of the deal to buy ASL were not disclosed.

ASL generated revenues of €957.7m in 2017, a near 30pc increase on 2016. It generated a €24.2m operating profit, which was up 55.1pc as it benefited from significantly increased profits from disposals. It made a pre-tax profit of €21.3m.

ASL chief executive Hugh Flynn said the deal marked a “positive and progressive investment” that will see the group grow.

“Our aim is to be the aviation services provider of choice and we will work with Star Capital to continue to deliver that by expanding our product offering, developing our geographical compass and focusing on core values,” he said.

Paul Gough, the managing partner of Star Capital, said the group will help ASL to make investments that will “secure cash flows and generate value”.

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