Estonia, Investments, Legislation, Transport

Jonas Butautis, chairman of the supervisory board of Magnetic MRO, said in Vilnius on Thursday that Magnetic MRO has hired the consultancy Seabury to advise it in the sell-off and that several strategic and financial investors from China and United Arab Emirates have displayed interest in Magnetic MRO.

Balticap partner Kristjan Kalda told BNS on Friday that as an investment company Baltcap is under all circumstances interested in finding a new strategic investors for Magnetic MRO and confirmed that there were parties having interest in the company.

According to Butautis, the company's approximate fair valuation is seven times EBITDA.

Magnetic MRO AS finished 2016 with a revenue of 50.5 million euros, its operating profit was 2.6 million euros and amortization approximately 1.1 million euros, which corresponds to an EBITDA of roughly 3.7 million euros. Butautis said that Magnetic MRO expects its EBITDA to rise to roughly seven million euros this year and 10 million euros in 2018. Based on the aforementioned figures the fair valuation of Magnetic MRO AS would be at least 50 million euros.

Magnetic MRO, then named Air Maintenance Estonia, used to be a holding of the Scandinavian carrier SAS until 2010, in which year it was acquired by Baltcap Private Equity Fund. In 2014 the company was renamed Magnetic MRO and two Cyprus-registered companies, Sasmex Investments Ltd and Tiaravia Services Ltd, acquired a holding of one-third in it. At present 70 percent of the shares belong to Baltcap and 30 percent to four minority shareholders.