American Securities takes Air Methods private for $2.5B, despite backlash
April 24, 2017
American Securities has completed its previously announced take-private acquisition of Air Methods, a US provider of helicopter medical transport and air tourism, in a deal that gives the company an enterprise value of $2.5 billion. Rumors of a bidding war for Air Methods among a group of investors, including KKR, emerged last month, though American Securities ultimately won out with an offer of $43 per share. Air Methods will no longer trade on the NASDAQ.
Not everyone is happy with the deal, though. Last week, Air Methods shareholders filed a lawsuit asking a federal court to pause the deal, alleging the company was undervalued and that activist investor Voce Capital Management and the company’s board led an unfair sale process.
PE-backed take-private deals have seen a decent uptick since bottoming out with 37 transactions in 2014, per the PitchBook Platform, though 2017 is off to a bit of a slow start (seven deals). If that pace continues, it would mark a steep decline from the 49 take-private transactions completed last year.
Interested in what else American Securities has been up to? Check out the firm's other 2017 deals.