VSE Closes Desser Aerospace Acquisition, Strengthening Its Aviation Business
Portfolio Pulse from Lekha Gupta
VSE Corp (VSEC) has completed the acquisition of Desser Holding Company LLC for $124 million and sold Desser Aerospace's Proprietary Solutions businesses to Loar Group Inc for $30 million. The net cash consideration for the deal was $94 million. The acquisition is expected to increase VSE's exposure to the high-growth, higher-margin aviation distribution and MRO markets. VSEC shares are currently trading lower by 1.83% at $53.69.
July 03, 2023 | 3:57 pm
News sentiment analysis
Sort by:
Descending
NEGATIVE IMPACT
VSE Corp's acquisition of Desser Holding Company and sale of Desser Aerospace's businesses is expected to strengthen its aviation business. However, VSEC shares are currently trading lower.
The acquisition is a strategic move by VSE Corp to increase its exposure to the high-growth, higher-margin aviation distribution and MRO markets. However, despite the strategic acquisition, the company's shares are trading lower, indicating a negative short-term impact on the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100