Chris Jasper/CROYDON
Fast-growing small aeroengine overhaul specialist Vector Aerospace - floated off from CHC Helicopter in 1998 - is planning further acquisitions as it moves to take advantage of outsourcing by commercial and military operators to position itself as a major maintenance, repair and overhaul (MRO) player.
Vector, based in St Johns, Newfoundland, but with divisions across Canada, the USA and UK, is already a market leader in several sectors, and chairman and chief executive Mark Dobbin says it is targeting further expansion via "bigger" takeovers, new product licences and organic growth. Vector needs to expand aggressively, Dobbin says, because while outsourcing is increasing, original equipment manufacturers are now aware of the potential of aftermarket services. New distributor and designated overhaul facility agreements have been sealed for Pratt & Whitney Canada's PT6A, PT6T and JT15D powerplants, but future moves could see it target engines of up to 7,450kW (10,000shp) and 40,000lbs (18,160kg).
Vector was created via an initial public offering on the Toronto stock exchange. CHC received C$192 million ($127 million), retaining a 20% stake in the new company, sold for a further C$37 million in 1999. Sales of C$225 million in 1998 grew to C$268 million in 1999 and are likely to have reached C$300 million last year. Civil work accounted for up to 75% of sales (military 25%), the and fixed-wing market 62%, and engines 77%.
Vector launched with three ex-CHC operations: helicopter engine repairer ACRO Aerospace of Richmond, British Columbia, fixed wing aero-engine specialists Atlantic Turbines of Prince Edward Island and SIGMA Aerospace (formerly Hunting Airmotive) of Croydon, UK. It subsequently bought Vancouver-based helicopter MRO company Helipro for C$39 million in late 1998, folding the company's engine and component business into ACRO and establishing Helipro as a rotorcraft structures specialist.
Oakland, California-based Tower Aviation Services (including Advanced Turbine Technology) was bought in June 1999 for C$10 million, after filing for Chapter 11 bankruptcy. Tower was relocated to Ala-meda naval base, and renamed Alameda Aerospace. It repairs fixed-wing engines and avionics instruments. Vector also has a sixth division, based around its Pathix software product.
Sweden's Volvo Aero and CHC subsidiary Astec Helicopter Services of Norway plan to form an MRO venture aimed at supporting the engine powering the winner of the Nordic Standard Helicopter Programme (NHSP).Source: Flight International
