India, Sept. 29 -- AAR Corp. (AIR), an aviation aftermarket parts, repair and software provider, said it agreed to acquire a 65% stake in MRO Holdings to expand its aviation aftermarket platform and broaden its maintenance solutions.
The deal values MRO Holdings, an aircraft maintenance, repair and overhaul provider, at an implied enterprise value of $4 billion.
AAR will initially pay about $1.8 billion for the 65% stake and repay about $1.3 billion of MRO Holdings' existing debt. It can acquire the remaining 35% in stages, with 5% exercisable within six years and the remaining 30% in three 10% tranches on the second, third and fourth anniversaries of closing the initial acquisition.
AAR said the transaction will be funded with about $2....