VSE, a provider of aviation aftermarket distribution and repair services, completed the acquisition of Precision Aviation Group (PAG), a portfolio company of GenNx360 Capital Partners (GenNx), for approximately $2.025 billion in cash and equity.
The combination creates a scaled, independent aviation aftermarket platform with 61 locations across 8 countries, including 48 repair facilities and 11 distribution centers. The expanded platform enhances VSE’s global reach, technical capabilities and integrated offering across maintenance, repair and overhaul (MRO) services and distribution, serving a diverse customer base across commercial, business and general aviation, rotorcraft, original equipment manufacturer and defense markets.
“Today marks a significant milestone in executing our strategy to build a focused, high-quality aviation aftermarket platform,” John Cuomo, president and CEO of VSE, said. “The addition of PAG meaningfully expands our global footprint, strengthens our repair capabilities, and enhances our ability to deliver integrated, end-to-end solutions to our customers. With the transaction closed, our focus shifts to integration and synergy realization through cross-selling, repair insourcing, and procurement efficiencies. PAG’s margin profile is immediately accretive and supports a clear path to exceeding 20% consolidated Adjusted EBITDA margins over time. Importantly, we are excited to welcome the talented PAG team to the VSE family and look forward to their contributions as we move forward together.”
The $2.025 billion purchase price includes $1.75 billion in cash and approximately $275 million in equity issued to GenNx that is exchangeable for VSE common stock, and up to an additional $125 million in contingent earnout payment based on 2026 performance, which is payable in cash, VSE common stock, or a combination thereof, at VSE’s discretion.
The transaction was funded using the net proceeds from VSE’s February 2026 equity and tangible equity unit offerings and $900 million under a new Term Loan B maturing in 2033.
VSE will provide additional detail on the combined company’s outlook, capital structure, and integration priorities with its first-quarter earnings release on May 5, 2026.
Perella Weinberg Partners served as exclusive financial and debt capital markets advisor to VSE. Jones Day served as legal counsel to VSE. RBC Capital Markets served as lead-left arranger on VSE’s Term Loan B. Citizens Bank served as administrative agent for the syndicate banks supporting the revolving credit facility.
