Shares of Fly Leasing Limited (NYSE: FLY) are surging on Monday after announcing that it will be acquired by an affiliate of Carlyle Aviation Partners for $17.05 per share.
The deal will see Carlyle Aviation pay a total of approximately $520 million for the aircraft leasing company. The total enterprise value of the transaction is around $2.36 billion.
Ireland based Fly has a portfolio of 84 aircraft and seven engines on lease to 37 airlines in 22 countries.
The per-share price paid for the company represents a premium of approximately 29% to FLY's closing price on March 26, 2021, and a 43% premium to the volume-weighted average share price during the last 30 trading days.
Fly Leasing’s share price has gained 27% so far on Monday, climbing to $16.87.
The transaction is expected to close in the third quarter of 2021.
“This transaction represents strong value for FLY shareholders at a time when airlines are facing an extremely difficult environment and smaller aircraft lessors are disadvantaged in the debt markets,” said Colm Barrington, CEO of FLY. ”
“After a thorough review and evaluation of its options, FLY's Board of Directors enthusiastically recommends this transaction to its shareholders,” he added.
Should You Invest in Fly Leasing Shares?
One of the most frequently asked questions we receive is, “what stocks are best to buy right now?” It's a wide-ranging question, but one that we have answered… Our AskTraders stock analysts regularly review the market and compile a list of which companies you should be adding to your portfolio, including short and longer-term positions. Here are the best stocks to buy right now