Logistics services provider Toll Group has signed an agreement to acquire Australia-based operator Pel-Air from Regional Express Holdings (Rex), which entered voluntary administration in July this year.

As part of the acquisition, Toll Group will acquire Pel-Air’s fixed wing air ambulance services currently under 10 year contract terms with the New South Wales and Victoria governments, and assets including 10 aircraft comprising of eight King Air B200 and B300 series turboprops, and two Pilatus PC-24 jets.

The acquisition expands upon the Toll Aviation business which is currently contracted to deliver the NSW Health and ACT Ambulance Service aeromedical helicopter capability. The Toll Aviation business operates the Toll Ambulance Rescue Helicopter Service, which has eight AW139 helicopters, the ACE Training Centre and Toll Uncrewed Systems.

“This acquisition will broaden our business in the aviation market, increasing the scale and diversity of our offering,” says managing director, Toll Group, Alan Beacham. “Pel-Air’s specialised capabilities will enable us to better serve our customers and open up new growth opportunities.”

The transaction is expected to close at the end of 2024.