AAA Inflight buyout follows minority stake buy

Inflight buyout follows minority stake buy

Global Eagle Acquisition Corporation, a Nasdaq-listed Special Purpose Acquisition Company, has bought majority stakes in Germany-based inflight entertainment company Advanced Inflight Alliance and Row 44, a US-based satellite for flight videos company, after Advanced Inflight bought a minority stake in Row 44 in June.

The combined deal, revealed on November 8, is valued at $430m.

 Global Eagle bought an 86% stake in Advanced Inflight, and acquired shares from private equity firm PAR Investment Partners for $112.5m.

Advanced Inflight Alliance AG acquired approximately 12.5% of Row 44 in June 2012.

Edward Shapiro, a partner of PAR Capital Management, will become Chairman of Global Eagle Entertainment after the closing.  Shapiro said: “We are extremely excited about this business combination. Row 44 and AIA are leaders in their respective industries and have highly complementary products and customer bases. With this transaction, not only will the two companies be able to enhance their offerings, but they will gain access to additional capital and relevant entertainment industry experience.”

Citigroup is capital markets advisor to Global Eagle, and BofA Merrill Lynch and Citigroup are financial advisorys to Global Eagle. RBC Capital Markets is advising AIA. Seabury Group is advising Row 44.

McDermott Will & Emery is legal adviser to Global Eagle, while PAR has legal advice frim Goodwin Procter and SJ Berwin, while Row 44 is being advised by Strategic Law Partners.

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