Rimado Holding, based in Abu Dhabi, is considering an acquisition proposal of approximately $10 billion for Atlas Air Worldwide, an air cargo operator. According to people familiar with the matter, the move is viewed as an effort to expand its position in the logistics sector.
Rimado Holding is reportedly considering an acquisition proposal for Atlas Air Worldwide Holdings. The proposal is expected to be worth approximately $10 billion and is also reported to be linked to progress on developing transport routes that would serve as alternatives to the Strait of Hormuz.
Atlas Air Worldwide is currently owned by an investor group led by Apollo Global Management. The company is valued at approximately $5.2 billion on an enterprise value basis and approximately $2.9 billion on an equity value basis. If the acquisition proposal is completed, the process could lead to a change in ownership.
The company provides outsourced aircraft and air transport services. Its subsidiaries include the cargo operators Atlas Air and Polar Air Cargo, while Titan Aviation, an aircraft leasing company, is its parent. It is reported to operate 777 and 767 aircraft, as well as 747 freighters, among the largest in the world.
The company has ordered 20 next-generation Airbus A350 freighters and is seeking to move away from its current fleet, which consists entirely of Boeing aircraft. The potential sale has been linked to views that a shortage of widebody aircraft could weigh on the air cargo industry for more than the next 10 years.