China - Estonia enhance cooperation in aviation industry

Magnetic Group

Magnetic MRO and Guangzhou Hangxin Aviation Technology completed the full acquisition and change of shareholder structure on May 3, 2018 by celebrating this milestone with a private ceremony, which took part in Lennart Meri Tallinn Airport. It is recorded as China's largest investment deal in Estonia, worth 43 million euros (about 51.43 million U.S. dollars) of equity value. Guangzhou Hangxin Aviation Technology has officially become the parent company and strategic investor of Magnetic MRO to expand its global MRO presence. Alo Ivask, Chairman of the Board of Enterprise Estonia, welcomed the investment deal and hailed the fast growth and high-level quality of Magnetic MRO in the past years, expecting a bright future for the company after Hangxin's acquisition. Li Chao, Chinese ambassador to Estonia, termed the acquisition deal as strong “union to promote and deepen bilateral cooperation, which implements the Belt and Road Initiative”. Over the past five years, Magnetic MRO has grown from a labor intensive maintenance facility into a global Total Technical Care maintenance and asset management organization, whose major shareholder is a private equity firm BaltCap. Established in 1994 in Guangzhou, south China's Guangdong Province, Hangxin is a privately-owned company providing aircraft component maintenance services, technical solutions in the field of aircraft engineering and safety to the Chinese aviation industry.