CHC Helicopter Group (CHC) has agreed sale of its Offshore Helicopter Services UK (OHS UK) division to South Africa-headquartered Ultimate Aviation Group, a provider of helicopter charter, maintenance and training services and heliport operations.

OHS UK has provided transportation for the UK's offshore oil and gas industry for more than 40 years. It operates a modern fleet of Airbus H175, Sikorsky S92 and Leonardo AW139 helicopters from its main operating bases in Aberdeen and Sumburgh in Scotland for various customers in the North Sea.

OHS UK was acquired by CHC from FTSE 250 company Babcock International Group in 2021, along with Babcock's offshore oil and gas operations in Denmark and Australia. Following a Phase 2 investigation by the UK's Competition and Markets Authority (CMA), the CMA determined in August 2022 that CHC would be required to divest OHS UK and an auction process was undertaken for this purpose. A sale and purchase agreement was signed on 30 December, 2022 under which CHC agreed to sell OHS UK to Ultimate Aviation Group.

The transaction remains subject to customary closing conditions, including the final approval of the sale by the CMA, and is expected to complete in the first calendar quarter of 2023.

CHC president and chief executive officer David Balevic says: “While we remain disappointed with the CMA's decision and believe it was based on several fundamental misconceptions, we are glad to be close to completing this process through the sale of OHS UK to Ultimate Aviation. CHC's talented team will continue to deliver outstanding levels of service and safety, quality and innovation, through our existing UK business.”

Ultimate Aviation CEO Shaun Roseveare adds: “ The acquisition is set for final closure shortly, and the integration of OHS UK into Ultimate Aviation will be seamless for customers; they can expect the same high level of service they have come to expect from both companies. This acquisition marks an exciting new chapter for Ultimate Aviation, and we are looking forward to continue offering our customers the best services possible and expanding our reach to new regions.”