(Reuters) - Bristow Group Inc BRS.N, which provides helicopter services to the offshore energy industry, said it will invest $250 million to buy a minority stake in privately held Cougar Helicopters, gaining access to a growing Canadian exploration and production market.
Bristow will also acquire certain aircraft and facilities from Cougar, which is mainly focused on the offshore oil and gas industry off Canada’s Atlantic coast and in the Arctic.
The assets being purchased include eight Sikorsky S-92 helicopters and helicopter passenger, maintenance and other facilities located in Newfoundland and Nova Scotia in Canada.
The purchased aircraft and facilities will be leased by Bristow to Cougar, which is held by VIH Aviation Group Ltd, on a long-term basis.
Bristow can get an additional $40 million based upon Cougar achieving certain performance targets. Cougar had C$124 million ($124.94 million)of revenue in 2011.
The deal will close in the fourth quarter.
Reporting by Swetha Gopinath in Bangalore; Editing by Akshay Lodaya