Gama Aviation Share Discussion Threads

[gorilla36] 10/9/2015 16:25

rivaldo - The problem is none of this "good news" is being reflected in the share price, on the contrary we have now resumed our gentle but constant fall. We have gone nowhere in a year. The next update had better start to move the price or that is me gone I'm afraid.

[rivaldo] 10/9/2015 09:38

Featured in today's Shares Mag:

"Business aviation services company Gama (GMAA:AIM) has successfully integrated
Hangar8 and a recent trading update confirmed that synergies are flowing strongly and demand for its expanded aviation and ground services is
healthy.

Cantor Fitzgerald’s Robin Byde believes that ‘growth prospects for Gama, across all regions, organically and through potential M&A, are excellent.’"

[rivaldo] 09/9/2015 11:47

This good news hasn't been posted:



"Gama Hutchison Responds to Increase in Demand with Delivery of New Aircraft in Hong Kong
Published: 14 August 2015 Written by INT821

Gama Hutchison, the Hong Kong-based joint venture between Gama Aviation Plc and Hutchison Whampoa, has today announced that it has signed a management contract for a Bombardier Global business jet, taking its fleet in Hong Kong to three aircraft.

Marwan Khalek, CEO of Gama Aviation Plc commented: “Since launching our joint venture with Hutchison Whampoa in January of this year we have received unprecedented demand for our services in Asia Pacific.

One of the reasons we offer such an attractive proposition to our clients in the region is the size, breadth and depth of our service, which means we are able to offer considerable savings to our customers through economies of scale. The signing of the management contract for this aircraft is in line with our planned operations and will only bring costs down further as we look forward to growing our footprint in what we view as a key growth market for the business.”

Recent analysis of the Asia Pacific business aircraft fleet carried out by Gama Aviation has reveals a strong preference for larger, longer-range aircraft. Large jets accounted for 69% of business aircraft deliveries to China during the period between 2010 and 2014, compared to 47% for Asia Pacific and 33% globally. Indeed, a sixth (18%) of all global heavy jet and jet airliner deliveries between 2010 and 2014 went to Asia Pacific, with half of these going to China.

Since its merger with Hangar8 in January 2015 Gama Aviation has taken advantage of its greater scale by successfully renegotiated a 400-location global tender for fuel. Given a Group consumption of more than 40 million litres last year, the company has naturally sought an economy of scale from providers and has embarked on a series of other scale-led procurement deals that it expects to lead to significant further savings for its client base across the world.

Gama Aviation now holds management contracts on over 140 business aircraft globally, making it one of the world’s leading aviation services companies, with operations in 45 different locations in 17 countries across five continents."

[rivaldo] 04/9/2015 07:30

WH Ireland's monthly magazine WHI Spy is just out for September, and GMAA is the main company featured....which will hopefully bring in some interest:



"FLYING HIGH AND SCOPE FOR FURTHER EXPANSION

Gama Aviation (GMAA)
FTSE AIM | Share price: 305p | Market Cap: £130m
www.gamaaviation.com

Gama Aviation is a global aviation services operator with 144 aircraft under management in 44 locations and spanning 5 continents. Though it was founded in 1983 the business joined AIM earlier this year following a reverse takeover
of its smaller rival Hangar8 – a move which has greatly expanded its geographic reach.

It operates aircraft on behalf of aircraft owners, providing a raft of services from aircraft management and charter through to engineering and support services. Gama can also deliver: crew personnel, fuel, insurance, hangar
space, valeting as well as all travel arrangements.

The private aviation market is growing but the major opportunity for Gama is the fact that the industry remains highly fragmented. In Europe nearly 80% of fleet operators manage just 2 to 5 business aircraft and only 9 companies manage a fleet in excess of 20 aircraft. The US market is not dissimilar
in its composition. Gama has a market share of less than 1.6% of the EU fleet and 0.5% of the US fleet there is clearly scope for more acquisitions.

What we like

The aviation market has stringent and increasing regulation with the expense of obtaining an Air Operator Certificate (AOC) proving a major barrier of entry for new competitors. Sub scale operators will struggle to afford this regulatory burden and are unable to match the integrated offering of the likes of Gama.

Up to 80% of its gross margin is contracted and there is a high degree of nondiscretionary spend to maintain aircraft.

Gama also expects further potential from its 5 year contract with US based Wheels Up, a membership based private aviation operator to manage aircraft.

Restructuring post the deal with Hangar8 has allowed Gama to extract significant
cost savings and it recently confirmed it was performing in line with expectations.

Trading on less than 12x 2016 earnings the shares look undervalued given the growth potential. Results later this month should provide a useful opportunity for investors to take a closer look.

Estimates to Dec 2014 (E) 2015 (E) 2016 (E)
Revenue (£m) 282.3 323.9 371.9
EBITDA (£m) 14.1 20.9 23.8
EPS (p) 11.6 22.9 26.9
P/E (x) 26.3 13.8 11.3
DIV (p) Nil 2.25 2.75
Yield (%) N/A 0.7 0.9"

[rivaldo] 11/8/2015 11:57

A nice £35,000 buy at 326.5p just reported is the cause of today's tick up - well above the published offer price. Most encouraging.

Igoe, we now know that next month's interims will be good and the outlook positive, so hopefully the analyst target of 400p will come within reach at some stage soon.

[igoe104] 11/8/2015 11:23

Interesting to see the chart did the same, this time last year. from a lower base.

[rivaldo] 11/8/2015 07:17

The chart is starting to look good after the recent upwards moves.

New article about the expansion at Sharjah:



Extract:

"This year, the company, whose local shareholders include Sharjah conglomerate Crescent Enterprises and Dubai buyout firm Growthgate Capital, has added one aircraft to its fleet of eight chartered and managed aircraft.

Increasing take-off, landing and parking constraints at Dubai International, the world’s busiest airport for international passengers, are also making Gama Aviation and Sharjah International more attractive to business jet flyers.

This year, Gama Aviation is targeting to increase business by one and half times, Ringrose said, but declined to state current take-off and landing figures or future targets.

“[There will be] quite a steep growth in terms of volume changes by the end of the year,” he said."

[rivaldo] 06/8/2015 07:24

This looks good - a 3-5 year contract for the RAF:



"Gama Aviation Completes Airworthiness Reviews of All RAF Aircraft in Partnership with Atkins
Published: 29 July 2015

Gama Aviation, the global aviation services company, has announced that in partnership with Atkins, it has successfully completed Baseline Military Airworthiness Reviews on behalf of the Royal Air Force (RAF).

The contract to carry out these reviews was awarded after the UK’s Military Aviation Authority issued the Airworthiness Review regulations in June 2013 and mandated a Baseline Military Airworthiness Review (BMAR) of all military aircraft by 01 July 2015.

Atkins and Gama Aviation completed the task within twelve months of being appointed, and inside the deadline - an extensive task considering that for some aircraft this required checking records going back more than 34 years.

The BMAR is used to confirm airworthiness by establishing an aircraft’s maintenance history and physical configuration. Now that this is complete, Atkins and Gama Aviation will conduct an annual Airworthiness Review on each allocated aircraft for the remainder of the three to five year contract, focusing on the continuing airworthiness management activities carried out on the aircraft since the last review.

Duncan Daines, group chief marketing officer of Gama Aviation, said: “This was a highly prestigious contract to win but presented some significant challenges as a review of this scale has been rarely carried out before. Our success in delivering the programme is testament to our working relationship with both the RAF and our partner Atkins.

“We are very proud of the role this work has played, and will continue to play, in underpinning the safety of the RAF aircraft.”

Gama Aviation has operations in 45 different locations in 17 countries across five continents, making it one of the world’s leading aviation services companies. Its services include: line and base maintenance; FBO services; engineering design; aircraft management; charter operations; and aviation and ground management systems."

[rivaldo] 05/8/2015 08:54

Looking really promising online at present.

You can sell at least 9,000 shares at a premium at 312p, but the maximum you can buy is just 150 shares at 319.9p!

[rivaldo] 04/8/2015 12:32

Moving up on every buy today.

[rivaldo] 03/8/2015 23:22

This sounds encouraging:



"Gama Aviation expands business aviation estate at Sharjah International Airport
Posted 3 August 2015 ·

Gama Aviation has announced that from the August 1 it has expanded its operations at Sharjah International Airport in the UAE.

With the support of Sharjah Airport Authority, Gama Aviation has now acquired additional aircraft parking space to meet the growing demand it is experiencing for business aviation (particularly BBJs) at the airport, and from across the region. As part of the agreement Gama Aviation’s fixed base operation (FBO) and maintenance, repair and operations (MRO) teams will also be personally supervising the business aircraft left in their care ensuring clients receive the highest possible levels of service.

etc"

[rivaldo] 31/7/2015 14:26

Interesting point made by Adastra on another bb:

"Gama may well be having a nice little uplift in air-freight as a result of continuing M20 'stack'"

Since the M20 stack is likely to go on for some considerable time, this could well be a moneyspinner for GMAA.

[rivaldo] 31/7/2015 08:03

Good, solid trading statement this morning from Air Partner hopefully has a positive read-across for GMAA.

[rivaldo] 24/7/2015 12:47

Cantor reiterate today their Buy and 400p target:

Http ://www.directorstalk.com/broker-upgrades-and-downgrades-key-uk-corporate-snapshots-24-july-2015/

[rivaldo] 21/7/2015 22:54

News - sounds like quite a profitable arrangement:



"Gama, CAE Partner for New EASA Base Training Requirement
by AIN Staff
July 21, 2015, 9:28 AM

Gama Aviation is partnering with CAE to address new European Aviation Safety Agency (EASA) Part-FCL requirements that airplane type rating takeoffs and landings be carried out under the control of an Approved Training Organization (ATO). The “redefinition” of EASA Part-FCL took effect June 30, and a UK Civil Aviation Authority (CAA) information notice states that “base training with a Type Rating Instructor (TRI), completed independently of any training organization, must cease.”

Gama’s Hamish Ross said the Farnborough, UK-based aircraft management and charter company has established its own CAA-approved ATO to address the requirement for its more than 450 pilots. Gama will also offer the service to other Air Operator Certificate (AOC) holders.

“The lawyers are sorting out the arrangement” to use CAE’s instructors to supervise the takeoffs and landings, according to Ross. In the meantime, Gama and CAE are assembling a pool of experienced instructors. One side benefit of the partnership, Ross said, is that “CAE simulator instructors will get more time in the aircraft, which they are always looking for.” CAE is the second largest provider of business aviation training, with facilities in Europe, the Middle East, Asia and the U.S. Gama has been sending pilots to CAE for training for several years under a long-term agreement."

[rivaldo] 15/7/2015 07:35

GMAA have a new institutional investor.

Independent Investment Trust this morning report that GMAA is one of their new purchases in the last few months. They've bought £5.6m of stock, which is now worth £5.86m....so quite a sizeable new investor:



"Gama Aviation provides services to owners of private jets, a fragmented market in which it expects to act as a consolidator"

[rivaldo] 14/7/2015 15:09

Hmmm...10,614 shares just bought at 305p. Nice to see such buying, yet unusually no effect on the share price. Must be a seller around.

[rivaldo] 10/7/2015 09:45

A new report that the merger process is on track and accelerating, with the HGR8 brand disappearing:



Hopefully the single branding will lead to material synergies and cost savings.

[paleje] 07/7/2015 14:34

IC gave them the thumbs up mid morning:-

Our buy tip Gama Aviation (GMAA) – formerly known as Hangar 8 – saw its shares come off a little today after a first-half update reported trading in line with management expectations. Synergies from the combination of the two companies have been “at least” in line with forecasts, while the jet operator continued to expand with new bases in the US and a Hong Kong joint venture that will see its first managed aircraft in the region. Buy.

[rivaldo] 07/7/2015 13:27

Cantor reiterate their Buy and 400p target:

[rivaldo] 07/7/2015 07:30

Trading update confirms interims will be in line with expectations - and is also confident that full year results to 31/12 will be in line with expectations too.

It's good to see such confidence still six months away from the year end:

[rivaldo] 03/7/2015 09:29

Lots of new appointments to support the expansion:



"Gama Aviation announced a series of senior executive changes and additions following the completion of its merger with Hangar 8 and IJC earlier this year. Warren Gravell was promoted to managing director of Europe. Clive Prentice joins the company as managing director of European ground operations from Jets (UK) and Hawker Beechcraft. Ian Spreadbury joins Gama from Jet Aviation to lead the European sales team. Martin Ringrose joins from the UK’s Ministry of Defence to become managing director for the Middle East and Asia (ME&A). Richard Lineveldt will support Ringrose as general manager of ME&A air operations."

[rivaldo] 01/7/2015 09:21

Looks like GMAA have disposed of a small/non-material aircraft valet business, presumably because it's non-core:



"Up and Away Aviation Cleans Up With Avialogistics Purchase
Source: Up and Away Aviation Jun 30, 2015

Oxford, UK-based aviation-detailing company Up and Away Aviation has announced the acquisition of Farnborough, UK-based aircraft valet company Avialogistics from Gama Aviation. Stefan Murphy, Managing Director of Up and Away Aviation, and Kevin Godley, CFO Gama Aviation, ratified the deal on 1st June 2015. Under the terms of the agreement all Avialogistics assets will be rebranded Up and Away, and all employees will move across to work as part of the Up and Away Aviation team.

etc"

[rivaldo] 22/6/2015 14:46

Interesting to see the latest major shareholders list - pretty tightly held, with almost 80% of the shares held by just 9 holders:

Significant shareholders.

Marwan Khalek: 35.88%
Growthgate Capital Corp BSC: 12.08%
Crescent Investment LLC: 6.04%
Dustin Dryden: 5.02%
Independent Investment Trust: 4.65%
FIL Investment International: 3.72%
Hargreave Hale: 4.28%
Living Bridge VC LLP: 3.31%
Killick & Co. 3.08%