AAR has signed a definitive agreement to acquire Aircraft Reconfig Technologies from ZIM Aircraft Cabin Solutions in an all-cash transaction valued at $35m, with closing expected in the fourth quarter of AAR's fiscal year 2026 pending regulatory approvals.

Aircraft Reconfig Technologies, founded in 1990 and based in Greensboro, North Carolina, employs approximately 100 people. The company engineers and certifies aircraft interior reconfigurations for airline clients worldwide and holds FAA Part 21 and Part 183 Organisation Designation Authorization — credentials that allow it to perform certification work on behalf of the regulator.

Its intellectual property portfolio includes patents, parts manufacturer approval and supplemental type certificates, assets that give AAR ready-made design authority rather than capabilities it would have to build organically.

What does the deal change for AAR?

The acquisition targets a structural cost and capacity issue in the modification market: AAR currently depends on third-party certification providers to approve its engineering solutions. Bringing Organisation Designation Authorization in-house shortens that chain and shifts certification margin onto AAR's own books.

AAR chairman, president and CEO John Holmes said: "AAR is excited to announce our agreement to acquire Aircraft Reconfig Technologies, a company with a strong reputation for high-quality reconfiguration solutions."

"M&A is an important element of AAR's continued growth strategy. This acquisition will elevate AAR's engineering and in-house certification services to drive proprietary solutions as part of our broader MRO offering," Holmes added.

The company stated that combining Aircraft Reconfig Technologies' capabilities with its existing repair and engineering segment will expand design capacity for complex modification projects and reduce reliance on external certification providers.

Why does in-house certification matter?

Interior reconfiguration work — cabin conversions, reconfigurations for airline clients — is engineering-intensive and certification-bound. An MRO that must outsource approval to a designated organization adds time, cost and scheduling risk to every modification project.

Tom Hoferer, senior vice-president of AAR's repair and engineering segment, said: "This acquisition will add incremental engineering capabilities that will further differentiate AAR and enable us to expand our total accessible market."

"Further, by combining Aircraft Reconfig Technologies' qualifications with AAR's leadership position in MRO, we will be able to bring certification for our engineering solutions in-house, which will enhance our offerings to customers and create opportunities for AAR to pursue additional work," Hoferer said.

The deal structure is straightforward: all cash, $35m, one seller — ZIM Aircraft Cabin Solutions, which is divesting a certification asset to focus on its own cabin products business.

What happens next?

The transaction remains subject to regulatory approvals and standard closing conditions. Once closed, the roughly 100 Greensboro-based employees and their FAA designations move into AAR's repair and engineering segment, where the company expects them to unlock additional modification work it could not previously pursue on its own certification authority.