Flying Colours

Industry

Aerospace

Company Profile

With facilities in Canada, the USA, and Singapore, global aviation services company Flying Colours provides Green Completion, Interior Refurbishment & Modification, Heavy Maintenance, Exterior Paint, Special Mission Modification, and Avionics Installation services. Flying Colours Specializes in all mid to large sized business aircraft including the Bombardier Global Express and Challenger families, Dassault Falcon, Beechcraft/Hawker and Gulfstream models. Flying Colours is an Authorized Service Facility for Bombardier and a Bombardier Preferred Completion Centre. It is also a GE Aviation Approved Service Centre.

NewPoint’s Role

NewPoint was retained by Flying Colours Corp. ("FCC") to execute a recapitalization in order to buy out a minority shareholder and provide some liquidity to the majority shareholder. NewPoint worked closely with the founding majority shareholder to understand the company’s needs and opportunities as well as the shareholders’ objectives. NewPoint determined a suitable capital structure, introduced a select number of potential investors, negotiated the term sheet, and assisted with the negotiation of key agreements related to the transaction.

Transaction Snapshot

After analysing a range of options, it was decided that the company would partner with New Heritage Capital, a group with prior experience in the aerospace industry and a prior investment in Canada with another client of NewPoint. The transaction allowed the existing majority shareholder to retain a majority interest in FCC while still realizing some liquidity and gaining a partner for the future growth of the business.

Successful recapitalization of an aviation services business

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