Discovery Air has completed its previously announced transaction to sell the fire services business operated by its wholly-owned subsidiary, Discovery Air Fire Services, to certain affiliates of Clairvest Group.
Discovery Air Fire Services currently provides and has provided for almost three decades, aerial fire surveillance, airspace and aircraft management, and air transport services in support of the Ontario government’s forest fire management program. As well, it provides court-related air transport services to a variety of provincial government agencies which operate in northwestern Ontario, carried on by its charter division, Walsten Air.
Due to a delay in obtaining certain regulatory approvals, MAG DS Corp, part of the original buyer group intending to purchase the Discovery Air Fire Services business, assigned its interest in the DAFS Disposition to certain affiliates of Clairvest, the other member of the original buyer group, in order to ensure a timely completion of the Discovery Air Fire Services Disposition.
The Disposition was previously approved by a majority of minority shareholders of the Company at the Company’s special meeting of shareholders held on November 15, 2016, as well as the special independent committee of the board of directors of the Company formed in connection with the DAFS Disposition and all non-interested members of the board of directors of the Company.