Negotiations between Apollo Global Management, a U.S. investment group, and the air transport company Atlas Air Worldwide, are reportedly at an advanced stage. The fund, one of the largest in the world, is seeking to acquire at least part of the company’s shares.
According to the Wall Street Journal’s sources, the deal between Apollo and Atlas Air could be concluded “soon”. The details of the negotiations, however, were not disclosed.
Atlas Air was founded in 1992 and is based in Purchase, New York. The company’s market value is about $2 billion. It provides cargo, commercial, charter, and military services. Atlas’ fleet has the distinction of having the largest number of Boeing 747s in its ranks. According to the specialized site planespotters.net, the airline operates 46 units of the Queen of the Skies (39 in service and 7 in storage), one more than its direct competitor UPS. In addition, it has eight 737Fs, twenty-six 767s (five for passengers, and twenty-one freighters), and one 777F.
One of the most important contracts in its operation is to provide logistics to Amazon. This agreement also gave the e-commerce giant the possibility of buying shares in the airline.
For its part, Apollo, which is also based in New York, is one of the world’s largest private equity firms. In total, it manages a portfolio of around $500 billion in assets. The company has a history of investing in the airline industry: it bought Sun Country Airlines in 2018. It also has interests in handler Swissport International, and Aeromexico.
