VSE agrees to buy Precision Aviation Group for up to $2.025 billion in cash and stock
On January 29, 2026, VSE Corporation agreed to acquire Precision Aviation Group for up to $2.025 billion, made up of $1.75 billion in cash and $275 million in newly issued shares, plus up to $125 million in contingent payments tied to PAG's 2026 profitability. The deal is expected to close in the second quarter of 2026, subject to U.S. antitrust and Australian and UK foreign investment approvals, and lenders have committed up to $1.95 billion of new financing. VSE also released preliminary, unaudited 2025 results, with full-year revenue of about $1,101 million to $1,115 million, though the filing gives no prior-year comparison.
Key points
- Upfront price of $2.025 billion: $1.75 billion cash plus $275 million in VSE stock, with up to $125 million more in earnout payments tied to 2026 profitability targets
- Debt commitment letter for up to $1.95 billion of new financing, plus backstop commitments for VSE's existing revolving credit facility and term loan A
- Expected closing in the second quarter of 2026; agreement can be terminated if closing has not occurred by July 29, 2026, with a possible three-month extension
- Preliminary full-year 2025 revenue of about $1,101 million to $1,115 million and adjusted EBITDA of about $176 million to $184 million; full results and 2026 outlook due next month
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 January 29, 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.