AAR Corp. has enlarged its revolving credit facility by US$550 million to US$1.375 billion and extended the maturity by nearly four years to October 2031. The previous facility totaled US$825 million and was due to mature in December 2027, according to AviTrader.
The amended unsecured facility will help finance AAR's pending acquisition of a controlling interest in MRO Holdings. All existing members of the bank group increased their commitments, and two additional banks joined. Wells Fargo served as lead arranger and administrative agent. AAR described further details in a current report filed with the U.S. Securities and Exchange Commission.
The financing follows the transaction AAR announced at the end of September. MRO Business Today reported that AAR agreed to acquire a 65% controlling interest in MRO Holdings at an implied enterprise value of about US$4 billion. MRO Holdings operates roughly 115 lines of airframe maintenance capacity across facilities in El Salvador, Mexico, Colombia and the United States, and employs approximately 10,000 people. The company is expected to generate around US$1 billion in revenue in calendar year 2026, and about 90% of that revenue comes from U.S. customers.
AAR has said heavy airframe maintenance fits its plan to build an integrated parts, repair and software aviation aftermarket platform. The combined business is expected to service nearly 3,000 aircraft annually in its hangars.
The larger facility gives AAR more borrowing capacity and a maturity that runs well past the previous December 2027 date as the MRO Holdings transaction moves toward closing.
Source: AviTrader - https://avitrader.com/2026/10/26/aar-expands-credit-facility/