en.Wedoany.com Reported - New York-based cargo airline Atlas Air has announced it will acquire a 49% stake in Icelandic charter service provider Air Atlanta, along with its fleet of 14 widebody aircraft, to expand capacity amid a tight supply of large freighters. Ranked fifth globally by cargo volume, Atlas Air is also the world's largest operator of Boeing 747 freighters.

As part of the new ownership structure, Air Atlanta's CEO and Vice President will acquire a 51% controlling stake in the operating companies (Air Atlanta Icelandic and Air Atlanta Europe). Air Atlanta will continue to operate under its existing management team and operational framework, with both parties collaborating commercially to seek incremental growth opportunities globally.

Atlas Air will purchase Air Atlanta's aircraft through its subsidiary Titan Aviation Leasing, then lease them back to Air Atlanta airlines to ensure continued operations. A sale-and-leaseback is a financial transaction that allows aircraft owners to unlock capital from assets while retaining usage rights by paying fixed rent to the new owner.

Atlas Air stated that partnering with Air Atlanta enhances its ability to provide cargo services commercially, against a backdrop where many large freighters are nearing retirement age and manufacturers cannot ramp up production.

Air Atlanta operates 18 widebody aircraft across its Icelandic and Maltese certified airlines, 14 of which are owned, including 12 Boeing 747-400 freighters, 2 Boeing 777-300 passenger-to-freighter conversions, and 4 Boeing 777 passenger aircraft. According to aviation database information, the company also leases 4 Boeing 747-400 freighters to Saudia Cargo.

The transaction is expected to close in the third quarter, pending customary regulatory reviews.

Air Atlanta CEO Baldvin Hermannsson stated on LinkedIn that partnering with a strong, experienced international operator like Atlas will strengthen Air Atlanta and open new opportunities for sustained growth in an evolving global market. He believes this collaboration can expand access to aircraft, enhance fleet renewal capabilities, and create value for employees and customers worldwide. Air Atlanta Executive Chairman Hannes Hilmarsson will step down after 20 years of leadership at the company.

Air Atlanta operates two 777-300 converted freighters for Hong Kong-based Fly Meta, which leases these aircraft and entrusts Air Atlanta with their operation. Other Air Atlanta customers include Magma Aviation and Network Airline Management. These three companies are cargo management firms lacking aircraft operating certificates and rely on third-party carriers as operational platforms.

Atlas Air drew industry attention in March when it ordered 20 A350 freighters from Airbus, ending its decades-long history as an all-Boeing airline. Related reports indicate that Titan Aviation Leasing announced on Friday the sale of a Boeing 767-300 converted freighter, previously leased by Ethiopian Airlines, to Cargo Aircraft Management, the leasing arm of Air Transport Services Group.

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