Aviation
ATLAS AIR TO BE ACQUIRED BY APOLLO-LED GROUP FOR US$5.2B
August 4, 2022

Atlas Air Worldwide (Atlas), announced that it has entered into a definitive agreement to be acquired by an investor group led by funds managed by affiliates of Apollo together with investment affiliates of J.F. Lehman & Company and Hill City Capital in an all-cash transaction with an enterprise valuation of approximately US$5.2 billion.

 

Atlas said upon completion of the transaction, it will become a privately held company and shares of Atlas Air Worldwide common stock will no longer be listed on the Nasdaq stock exchange.

 

Atlas Air Worldwide will, however, continue operating under the Atlas Air Worldwide name, be led by John Dietrich and the current executive team, and maintain its global presence.

 

"We believe this transaction will deliver an immediate and certain value to Atlas Air Worldwide shareholders at a substantial premium, and we are pleased to reach this agreement with the Consortium," said Duncan McNabb, chairman of the Atlas Air Worldwide Board of Directors.

 

Transaction to close by Q4 2022 

 

"The Board's decision to unanimously approve this transaction follows a careful evaluation and thoughtful review of value creation opportunities for shareholders. We believe this transaction is the right next step to maximize value for our shareholders and the best path forward to accelerate the Company's ability to execute its strategic plan and achieve its long-term growth objectives."

 

Atlas Air said the transaction is expected to close in the fourth quarter of 2022 or the first quarter of 2023, subject to customary closing conditions, including approval by Atlas Air Worldwide shareholders and receipt of regulatory approvals.

 

Under the terms of the agreement, Atlas Air Worldwide shareholders will receive US$102.50 per share in cash, representing a 57% premium to the 30-day volume-weighted average trading price per share of Atlas Air Worldwide common stock as of July 29, 2022.

 

"Following the closing of the sale to the Consortium, we will seek to leverage their resources, relationships, and industry expertise to build on our strong financial and operational performance. Their investment in our company demonstrates their confidence in our people and our culture as we serve the growing needs of the global supply chain," said John Dietrich, president, and chief executive officer of Atlas Air Worldwide.