After months of legal wrangling and speculation, the assets of the SJ30 light jet program were purchased on April 7 from bankrupt Emivest Aerospace by the parent company of one of the aircraft’s primary airframe suppliers, Utah-based Metalcraft Technologies, for $3.5 million in cash.
The UK’s Bond Aviation Group, parent company of Bond Air Services and Bond Offshore Helicopters, has confirmed that it is in negotiations with investors, including Investindustrial and KKR, joint owners of Spain-based Inaer. Press reports had suggested Investindustrial and KKR were about to take over Bond but “these are still only negotiations,” Bond insisted.
For a pilot worried about whether the next bump in operating costs will be one more incentive for the boss to sell the airplane, recent volatility of oil prices and rising jet-A prices must be disturbing.
Attractive pricing persists on many popular models despite a continued tightening of inventory to its lowest level since peaking less than two years ago.
Emivest Aerospace has had its court-administered Chapter 11 bankruptcy protection extended through midsummer while it tries to complete the sale of the companyπs assets to an entity owned by the Chinese government. Attorneys for the maker of the SJ30 light jet successfully petitioned the U.S.
It has been two years since the economy went south, dragging business aviation right behind, and a year-and-a-half since a panel of “top economists” formed by the non-profit National Bureau of Economic Research (NBER) declared the recession over as of June 2009.
Leading business aircraft manufacturers are starting to take some encouragement from improving market conditions and more than ever are counting on emerging markets like the Middle East to give them the momentum the beleaguered industry needs to achieve a full-blown recovery.
Middle Eastern clients are the largest group of aircraft owners joining what is arguably the world's fastest growing aircraft register: the Isle of Man. The offshore tax haven located in the Irish Sea between Britain and Ireland formed its own register just over three years ago and more than 300 aircraft already have flocked to its jurisdiction.
Gulfstream International Group, the parent company of Fort Lauderdale, Fla.-based Gulfstream International Airlines, entered Chapter 11 bankruptcy protection last month in an effort to restructure its debt and secure long-term financing. Gulfstream said it has arranged for up to $5 million in debtor-in-possession (DIP) financing from Chicago-based Victory Park Capital Advisors and that it anticipates no effect on its flight schedules.
Emivest Aerospace’s Chapter 11 bankruptcy reorganization filing on October 20 revealed that the company has until January 14 to find a buyer or could face Chapter 7 liquidation. Any prospective buyer of the manufacturer of the SJ30 light jet would have until February 4 to close the deal.