Ohio-based Air Transport Services Group (ATSG) has agreed to acquire a 25% stake in Sweden’s West Atlantic, the parent company of regional cargo operators Atlantic Airlines and West Air Sweden.
The airlines together operate a fleet of 40 freighter aircraft made up of British Aerospace ATP, Bombardier CRJ200 and Boeing 737 models. Atlantic Airlines will also add the Boeing 767, says ATSG in a release.
West Atlantic also owns dry leasing firm European Turboprop Management and maintenance control specialist European Aircraft Maintenance.
The transaction is expected to close on 2 January, says ATSG, noting that the cash consideration will be “significantly less” than it historically costs the group to purchase and modify a Boeing 767 aircraft.
“Our leading position in the medium widebody freighter market and global reputation for delivering complete medium-size freighter solutions to major logistics services providers, together with West Atlantic’s complementary strengths in providing time-definite air cargo services in Europe, make us ideally suited to work together on emerging opportunities,” says Jon Hete, ATSG’s president and chief executive.
ATSG operates 47 converted Boeing 767 freighters through subsidiaries ABX Air and Air Transport International and offers several other maintenance and logistics services.