Avcorp Industries Completes Plan of Arrangement with Latécoère S.A.

On November 7, 2022, Avcorp Industries Inc. (TSX:AVP) (“Avcorp”) closed its CAD$139 million acquisition by Latécoère S.A. (“Latécoère”). The acquisition was affected by way of a court-approved plan of arrangement under the Canada Business Corporations Act, pursuant to which Latécoère acquired all the issued and outstanding common shares of Avcorp for considerations of $0.11 in cash per share.

Avcorp designs and builds major airframe structures for some of the world’s leading aircraft companies, including BAE Systems, Boeing, Bombardier, Lockheed Martin and Subaru Corporation. Latécoère is a “Tier 1” international partner of the world’s major aircraft manufacturers (Airbus, Boeing, Bombardier, Dassault, Embraer and Mitsubishi Aircraft).

The acquisition of Avcorp is a notable cross-border transaction in Canada’s aeronautics industry and formed part of Latécoère’s stated roadmap to achieve profitable growth as an active consolidator of the industry. Acting as counsel to Avcorp, the McMillan multidisciplinary team was led by Desmond Balakrishnan and Arman Farahani (Capital Markets & Securities, M&A) with expertise from Leo Raffin, Alex Bruvels, Iain Tape, Jordan Ghag, Ouvedi R. Naiken and Jade Cassivi (Capital Markets & Securities, M&A), Jill Pereira and Isabelle Guevara (Financial Services), Melanie Harmer and Kristen Shaw (Litigation & Dispute Resolution), James Musgrove (Competition, Antitrust & Foreign Investment) and Ted Thiessen (Tax).

To address our client’s needs and help them stay ahead, the firm’s Mergers and Acquisitions (“M&A”) Group, which provides trusted counsel to merging parties and related stakeholders in M&A activity across various industries, joined forces with our Capital Markets & Securities Group, who advise, among others, on equity and debt offerings. As a leading Canadian mergers and acquisitions law firm, McMillan specializes in simplifying the complexities of both public M&A and private M&A for our clients. Our M&A lawyers work closely with the client to develop a true understanding of the transaction at hand, and any competition-related challenges that could delay or block approval.