Monocle Acquirement Corporation (MNCL) and AerSale have agreed to merge in a deal with an concern value of around $430m.
Known as the AerSale Corporation, the merged quiddity will be publicly traded on the Nasdaq Stock Market.
AerSale’s continuing shareholders, including Leonard Green & Partners, will be entitled to gross $250m in cash and $150m in newly issued common equity upon nigh unto.
The cash amount can be reduced under certain conditions but no less than $200m in transfer for the issuance of up to $50m of convertible preferred equity.
The shareholders will also meet with $33m in additional value in stock consideration.
AerSale is owned by Leonard Amateurish & Partners, Florida Growth Fund and the company’s founders Nicolas Finazzo and Robert Nichols.
The attendance is involved in the supply of aftermarket aircraft, spare engines, flight matriel, maintenance, repair and overhaul services, as well as used serviceable facts support globally.
Monocle chief executive officer and president Eric Zahler reported: “AerSale aligns perfectly with the investment criteria we outlined from the beginning to the end of Monocle’s IPO process.
“AerSale has created significant competitive advantages to regulatory streamlining, data capture and analytics, long-term customer relationships, and its amalgamate business model.
“We are acquiring this business at an attractive valuation appurtenant to to public aerospace peers while providing significant potential to coin shareholder value over the near-term and long-term.”
After the deal, Leonard Grassland & Partners, Florida Growth Fund and members of AerSale’s management duo will hold a 42% stake in the merged company.
Public stockholders, encompassing the founders of MNCL, will hold the remaining shares of the combined business.
The deal is expected to close in the first half of next year.