10 Apr 2025
#2 April 2025: North American Aviation Newsletter
AAR Completes Sale of Landing Gear Overhaul Business
AAR Corp. has completed the divestiture of its Landing Gear Overhaul business to GA Telesis for $51 million, following an agreement first announced in December 2024. The transaction aligns with AAR’s strategic plan to streamline its portfolio and refocus resources on core aviation aftermarket services. CEO John M. Holmes acknowledged the departing team’s contributions and reiterated AAR’s intent to accelerate growth and margin expansion through portfolio optimisation.
Avelo Airlines Sets Up New Operational Base in Wilmington
Avelo Airlines has established its eighth U.S. base at Wilmington International Airport (ILM), North Carolina, launching seven new nonstop routes, including service to Chicago O’Hare and exclusive flights to Tweed-New Haven Airport (HVN), Connecticut. Operations to HVN begin 15 May 2025, running twice weekly. CEO Andrew Levy highlighted the expansion as a key step in Avelo’s mission to provide affordable and convenient air travel, timed with the airline’s upcoming fourth anniversary.
Aviation Capital Group (ACG) Delivers A321neo to Wizz Air
Aviation Capital Group has delivered its first A321neo aircraft to Wizz Air, powered by Pratt & Whitney GTF engines. This delivery is the first in a multi-aircraft sale-leaseback transaction between ACG and the European ultra-low-cost carrier. ACG’s Vice President of Marketing, Claudio Cheinquer, described the partnership as a strategic milestone and emphasised the A321neo’s role in boosting fleet efficiency and sustainability for Wizz Air.
Aero Capital Solutions Raises Fourth Aviation Investment Vehicle
Aero Capital Solutions (ACS) has closed its fourth aviation investment vehicle with total equity commitments of $936 million, making it the firm’s largest to date. The round was oversubscribed, drawing from a broad mix of institutional, family office, and RIA investors. ACS also secured two debt facilities led by Deutsche Bank and Atlas SP, aiming for over $3.5 billion in capital deployment. CEO Jason Barany cited an active deal pipeline and reinforced ACS’s commitment to delivering risk-adjusted opportunities through its asset-focused strategy.
Acumen’s Take
On AAR’s Divestiture to GA Telesis
AAR’s move to offload its Landing Gear Overhaul business is a clear signal of its strategic realignment. With capital freed up and management focus redirected toward higher-margin aftermarket operations, AAR is positioning itself for more targeted, sustainable growth.
On Avelo’s Wilmington Expansion
Avelo’s new base at Wilmington continues the airline’s momentum in underserved markets. The route additions reflect strong regional demand and align with its low-cost, high-frequency model. Acumen sees this as a calculated expansion that strengthens its East Coast footprint.
On ACG’s Partnership with Wizz Air
ACG’s delivery to Wizz Air marks the start of a new relationship with one of Europe’s fastest-growing carriers. The transaction supports Wizz Air’s fleet modernisation while also highlighting ACG’s ability to place new-gen narrowbodies with high-performance operators.
On ACS’s $936M Investment Vehicle
ACS’s ability to raise nearly $1 billion in equity amid a complex funding landscape demonstrates deep market confidence. With over $3.5 billion in potential deployment, this fund represents a major lever for future growth, especially as demand for leased assets rebounds.
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