Atlas Air Worldwide has completed its acquisition of a 49% minority stake in freighter operator Air Atlanta.
The deal was first announced in May and will also see Atlas subsidiary Titan Aviation Holdings separately acquire the aircraft owned by the Air Atlanta group of companies.
The aircraft will then be leased back to the Air Atlanta airline companies for continued operation.
Headquartered in Iceland with operating platforms in both Iceland and Malta, Air Atlanta provides CMI services, passenger and cargo charter services, and management services, in addition to its core ACMI leasing business.
Air Atlanta operates a fleet of 14 widebody freighters, including Boeing 747Fs and 777Fs, and also operates four passenger 777 aircraft.
“The strategic partnership expands Atlas’ global operating platform and enhances access to widebody capacity across key international markets,” the company said in a press release.
“We are pleased to complete our previously announced strategic investment in Air Atlanta and welcome the Air Atlanta team as a valued strategic partner,” said Michael Steen, chief executive.
“This milestone reflects our shared commitment to delivering exceptional service to customers and supporting the long-term success of both organisations.”
“This strategic relationship marks an exciting new chapter for Air Atlanta,” said Baldvin Hermannsson, chief executive, Air Atlanta.
“Together with Atlas, we are well positioned to build on our complementary strengths and expand opportunities and enhance value for our customers.”
Barclays and Morgan Stanley & Co. LLC served as financial advisors to Atlas Air Worldwide. Norton Rose Fulbright LLP served as legal counsel to Atlas Air Worldwide.
Air Atlanta will continue to operate under its existing leadership team and operating structure, while both companies collaborate commercially to pursue incremental global growth opportunities, said Atlas in May.
Following completion of the transaction, the “continuing Air Atlanta management team will retain a 51% controlling interest in the airline operating companies,” stated Atlas.
Hannes Hilmarsson, executive chairman of the Air Atlanta Group, will step down after 20 years in leadership roles with the business.
