Showing posts with label European Cargo Limited. Show all posts
Showing posts with label European Cargo Limited. Show all posts

28 March, 2022

European Cargo announces investment to accelerate growth

On February 22, 2022, European Cargo Limited closed a significant minority equity investment by Priority 1 Logistics Holdings  Proceeds of the investment will be used to eliminate third-party debt, convert EAL's A340 fleet to full cargo freighters, acquire additional aircraft, complete heavy maintenance checks and for shareholder dividends.

European Aviation Group, founded in 1989 by Paul Stoddart, includes ECL, which operates a unique fleet of iconic Airbus A340 long-haul aircraft. Offering fast and friendly service, European Cargo has helped to establish England's historic Bournemouth International Airport as a reliable, cost-effective, and strategic air freight hub.

Paul Stoddart, Chairman of ECL commented: "This is a major step forward in the growth of European Cargo. We have positioned our airline to provide our valued freight customers with a reliable air bridge to meet the increasing demand for air freight. The investment by Priority 1 into ECL will help us continue to build a sustainable, successful and profitable business following one of the most difficult periods in aviation history due to the Covid pandemic. This partnership with Priority 1 provides us with additional financial resources as well as deep commercial aviation expertise which will increase our capacity and ensure that we meet our rapidly accelerating customer demands."

Douglas Brennan, Executive Chairman of Priority 1, commented: "Expanding Priority 1's business into the cargo market represents a very exciting opportunity given the outsized demand for reliable air freighters due to strong trends in the marketplace, including the growing importance of e-commerce and reliable delivery of PPE to the world at large. Paul Stoddart and his skilled team at ECL have built enormous aviation capabilities and, together, we will help fuel the growth of ECL to build a powerful global cargo operator."

Capital for the ECL investment was provided by funds managed by Blackrock Financial Management Inc., which recently provided Priority 1 with a senior debt facility to refinance existing debt and grow its unique aviation platform.

NatAlliance Securities, LLC acted as advisor to Priority 1 Logistics Holdings for both the senior debt capital raise and its investment in ECL.

Darren Cunningham, Lead Executive UK and General Manager Humber Refinery said: “Phillips 66 Humber Refinery is proud to supply British Airways with sustainable aviation fuel.  We were the first in the UK to co-process waste oils to produce renewable fuels and now we will be the first to produce SAF at scale. We’re currently refining almost half a million litres of sustainable waste feedstocks a day, and this is just a start.

“The strategic collaboration and supply agreement confirm each companies’ commitment to a lower-carbon future.  The production of SAF is just one of a number of decarbonisation projects we are currently progressing, and we are excited by the role that we play in supplying the UK with the fuels it needs, both now and in the future.”

Transport Secretary Grant Shapps said: “It's great to see British Airways is the first airline in the world that started using sustainable aviation fuel produced at scale in the UK - an important milestone towards our ambitious Jet Zero targets.

“The fact it’s being produced here in the UK is a perfect demonstration how Britain continues to be a pioneer in developing green aviation technology and the Government will meet its 2050 net-zero target.

“We can create thousands of green jobs while reducing the impact that flying has on the environment, so we can continue to connect and travel in a greener way.”

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