AAR agrees to buy 65% of MRO Holdings for $4.0 billion implied enterprise value
On September 28, 2026, AAR agreed to acquire a 65% controlling interest in MRO Holdings, an aircraft maintenance provider, for an estimated cash price of $1,819,174,310 plus Series A preferred stock with an agreed value of $780,825,690, subject to adjustments and closing conditions including regulatory approvals. The deal is expected to close in AAR's fiscal third quarter ending February 2027 and is to be funded partly by about $2.1 billion of new debt, which AAR expects to take net leverage to about 3.6x at closing. The filing also notes that a private investment in public equity offering may dilute existing stockholders, and the company's fiscal 2026 adjusted EBITDA was $401.1 million, up from $324.2 million.
Key points
- Estimated cash purchase price of $1,819,174,310 and Series A preferred stock with an agreed value of $780,825,690, plus a $22,500,000 escrow deposit
- Implied enterprise value of $4.0 billion; AAR expects about $2.1 billion of new debt financing and net leverage of about 3.6x at closing
- Expected close in fiscal third quarter ending February 2027, subject to regulatory approvals; termination fee of $100,000,000 ($150,000,000 if the outside date is extended) applies if competition approvals fail
- Press release shows fiscal 2026 net income of $187.7 million versus $12.5 million in fiscal 2025, and adjusted EBITDA of $401.1 million versus $324.2 million
The filing
Written by AI on Nov 8, 2026, 1:00 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on September 28, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.