In late January, GSE manufacturing giant JBT announced that it had agreed a deal to acquire LEKTRO, Inc, the privately-owned supplier of electric tugs based in Oregon, on the west coast of the US. The deal is expected to close by the end of the first quarter of this year, as this issue of Airside goes to press
On announcing the acquisition, JBT described LEKTRO as a “leader in the design, manufacture, and supply of high-quality, all-electric towbarless tow and pushback vehicles for the business jet and commercial aviation market”.
As such, “LEKTRO provides AeroTech [AeroTech handles the aviation-related aspects of JBT’s business] with a more comprehensive and compelling offering of commercial aviation ground support equipment by expanding its range of products into electric towbarless aircraft pushback tractors for narrow body and smaller aircraft,” commented Tom Giacomini, JBT’s chairman, president and CEO in January.
“As airlines, ground handlers and airport operators increasingly focus on their environmental footprint and productivity, AeroTech is now well positioned to lead in the market supporting the growing demand for emissions-free ground support equipment,” he added.
LEKTRO’s electric tugs are thus regarded as a good complement to JBT’s diesel tow tractors and other GSE, including de-icers, cargo loaders, belt loaders, mobile stairs, pre-conditioned air (PCA) carts, and ground power units (GPUs).
Moreover: “LEKTRO’s reputation for great customer service and products that are easy to operate, easy to maintain, and highly reliable makes it an ideal fit for JBT AeroTech,” noted Dave Burdakin, executive vice-president and president of
JBT AeroTech.
JBT has confirmed that the leadership at LEKTRO will remain “unchanged”, and that it expects the latter’s focus on “great products and great service” will continue under JBT.
As for LEKTRO, its owner, Eric Poulson, remarked: “Together our companies will provide customers a global sales and support presence, a much broader portfolio of products and services, and deeper engineering capabilities for future product development.”
The acquisition price was confirmed to be US$48 million, before customary post-closing adjustments. JBT said that the purchase of LEKTRO would add annual revenue of approximately $35 million to its profit and loss account.
Offering up further thoughts on the deal, Charles Durst – vice president and general manager of AeroTech – told Airside: “LEKTRO and JBT have known each other for 13 years, dating back to 2005.
“LEKTRO has long been seen by JBT as a company offering high-quality products and customer care. Due to our shared values, JBT assessed them as a great fit with the AeroTech portfolio.
“Mutual discussions between the companies have occurred on and off over the years and got more serious in 2015.
“LEKTRO manufactures all-electric towbarless tractors which complements JBT’s current GSE product offering. Value from the acquisition will be provided both ways and will serve to improve both businesses,” Durst also pointed out.
“LEKTRO will have access to JBT resources including Engineering to ensure that they continue to flourish with the same high-quality products and customer care. LEKTRO’s brand has extensive marketplace awareness and JBT intends to continue using it in the future.
“JBT Corporation’s company objective is to grow organically and through strategic acquisitions. JBT has acquired 14 businesses since 2014 and through the years has developed an effective integration process which will be used to welcome LEKTRO to the JBT family,” Durst concluded.
JBT designs, produces and services sophisticated products and systems for multi-national and regional customers through its FoodTech segment, while it sells equipment and services to domestic and international air transportation customers through its AeroTech segment.
JBT Corporation as a whole employs approximately 5,800 people worldwide and operates sales, service, manufacturing and sourcing operations in more than 25 countries.
