Atlas Air Worldwide has now been acquired by an investor group led by funds managed by affiliates of Apollo, which manages assets valued at about $548bn, and by investment affiliates of JF Lehman & Company and Hill City Capital.
The completion of the previously announced deal will see Atlas "continue to maintain its global presence, continue to operate under the Atlas Air Worldwide name and be led by president and chief executive John Dietrich and the company's current executive leadership team".
"Today marks the start of an exciting new chapter for Atlas, and we are eager to begin our partnership with Apollo, JF Lehman and Hill City," Dietrich said.
Atlas is the parent company of cargo carrier Titan Aviation, as well as Atlas Air, and is the majority shareholder in Polar Air Cargo, which together take in the world's biggest fleet of Boeing widebody aircraft.
"With the support and resources of our investor partners, we are well-positioned to achieve our growth objectives while continuing to serve the increasingly complex global supply chain. I want to thank the entire Atlas team, whose customer focus and dedication made this milestone possible. I look forward to the opportunities this next phase provides for our Company and our employees," the chief executive added.
"We have long admired Atlas' reputation of providing high-quality service to its customers, as well as the financial and operational excellence the team has established. Atlas is poised for continued growth and expansion as it capitalises on the long-term demand for global air cargo services," said Apollo partners Antoine Munfakh and Jason Scheir, Lehman partner Alex Harman and Hill City chief investment officer Chip Frazier.
The investor group has acquired all of the outstanding shares of Atlas Air Worldwide stock, with shareholders entitled to receive $102.50 in cash for each share of Atlas Air Worldwide common stock owned, with the company no longer listed on Nasdaq.
Morgan Stanley served as exclusive financial advisor to Atlas. Cravath, Swaine & Moore served as Atlas' legal advisor. Evercore acted as lead financial advisor to the investor group. Barclays, Goldman Sachs, and Mizuho Bank served as financial advisors to the investor group, and Paul, Weiss, Rifkind, Wharton & Garrison served as legal advisor to Apollo and the investor group entity, and Jones Day provided legal advice to J.F. Lehman & Company and Hill City Capital.