Air Methods Shareholder Said to be Pushing for Sale

An Air Methods spokeswoman has declined to comment on recent reports in the financial press that the company, the nation's largest helicopter EMS operator, might be up for sale and is working with bankers to sort through potential buyers. "We don't comment on rumors and speculation as a matter of policy," she said.

Pressure to sell the company is said to be led by shareholder Voce Capital Management, a hedge fund. Earlier this month, Voce threatened to launch a proxy war to gain more control over Air Methods. Any sale of the company would be expected to produce a price substantially more than its $1.4 billion market capitalization at the end of January.

Just days before the sale rumors were reported, Air Methods CEO Aaron Todd told BJT sister publication Aviation International News, "We remain inquisitive and open to acquiring more programs that can enhance our value proposition." But pressure to sell the company could intensify in the wake of data that suggests that the U.S. helicopter EMS market has topped out and for the first time is contracting in terms of the number of helicopters employed.

Todd conceded, however, "While we don’t have a plan to reduce the size of our fleet, we do think strategically about where we position our aircraft, and that can and has led to base consolidations in certain markets."

Leave a commment

Add your comment

By submitting a comment, you are allowing AIN Publications to edit and use your comment in all media.