By Wings Staff
World Fuel Services Corporation, through a wholly-owned subsidiary of the company, signed a definitive agreement with Universal Weather and Aviation Inc. to acquire that company’s UVair fuel business.
The total purchase price of approximately US$170 million, a portion of which is payable over three years, will be funded through cash-on-hand and liquidity available through the World Fuel’s existing unsecured credit facility.
UVair, headquartered in Houston, Texas, serves business and general aviation customers at more than 5,000 locations worldwide. Universal will maintain its international trip planning services business, which is not part of the deal. The agreement to purchase the UVair fuel business also includes an agreement for Universal to work exclusively with World Fuel to provide fuel supply to their customers.
“We look forward to welcoming UVair’s fuel customers and providing them and Universal’s international trip planning customers with access to our best-in-class global fuel supply network,” said Michael Kasbar, chairman and chief executive officer of World Fuel Services.
The transaction is subject to customary closing conditions and is expected to be completed by the end of the year.