The MRDC Group of Companies invested in Hevilift by acquiring 50% of shares in the company.

This investment decision is to participate in the aviation business with the major light aircraft business operator in the Asia Pacific region. Prior to the investment decision, due diligence was conducted for nine months in Hevilift Ltd to purchase half of the shares in that company.

MRDC engaged Deloitte and AVFAS Australian aviation company to independently conduct all due diligence. The fair market value of Hevilift as at 31 December 2008 took into account the net asset position and earning potential of assets within Hevilift.

Prior to acquisition Hevilift was not making losses but profitable. The independent valuation by Deloitte assessed the highest fair market value of Hevilift at K172 million and the lowest value at K149 million. Fifty percent (50%) of these values was a high of K86.1 million and a low of K74.5 million. The second valuation by AVFAS Australian Aviation Company assessed the highest fair value of Hevilift at K217.17 million and the lowest value at K147.72 million.

Fifty percent (50%) of these values was a high of K108.06 million and a low of K73.9 million. The enterprise value of Hevilift as at 31st December 2010 was placed at K185 million, 50% of which is K92.5 million.

This indicates an increase in value of MRDC Group’s share by K17.5 million or 18.3%. At the time of share acquisition, Hevilift had a total fleet of 28 aircrafts comprising 20 x rotary wings and 8 x fixed wings.

Currently, Hevilift has a fleet of 37 aircrafts with 11 fixed wings and 26 helicopters operating in PNG, Indonesia, Myanmar, Cambodia and Australia and it has recently acquired Air Operating Licenses (AOC) to operate in Thailand, Laos, Malaysia and Singapore. Hevilift is currently in the process of acquiring AOCs in Philippines, East Timor and Solomon Island.

In the next two years Hevilift is posted to be a bigger player in supplying rotary wings in the Asia Pacific region including China and India.

Hevilift is recognized by ExxonMobil as an EPC Contractor for the PNGLNG Project successfully passing ExxonMobil’s rigorous bidding process. Just one falcon jet was bought for K130 million