Arapahoe County-based Air Methods Corp. announced that it is acquiring FSS Airholdings Inc., parent company of CJ Systems Aviation Group Inc., for $25 million.
Air Methods, a leading air ambulance operator with more than 200 helicopters and other aircaft, expects to close on the acquisition in October, if various conditions are met.
West Mifflin, Pa.-based CJ is a private air medical transport company with more than 113 helicopters and other aircraft, according to Air Methods. FSS Airholdings had net income of $1.2 million on $128.8 million in revenue for the year ended Feb. 28. Audited book equity was $22.2 million as of Feb. 28.
Air Methods plans to finance the acquisition with commercial bank term loans and lines of credit. The company said it expects to see “moderate accretion” to its earnings per share, with more in future years as it consolidates and improves revenues.
Air Methods chief executive Aaron Todd said in a written statement that he expects operational efficiencies from the combination, adding that maintenance, overhaul and logistics capabilities at CJ’s headquarters will be used for all of the company’s aircraft in the eastern United States.
Staff writer Kelly Yamanouchi can be reached at 303-954-1488 or at kyamanouchi@denverpost.com .
