Air T Announces the Acquisition of Royal Aircraft Services by its Wholly-Owned Subsidiary Mountain Air Cargo
- Strategic expansion of MRO service capabilities through acquisition
- Geographic expansion with new location in Hagerstown, MD
- Integration of Royal's specialized expertise with MAC's existing network
- Retention of Royal's established brand name and operational continuity
- None.
Insights
Air T's acquisition of Royal Aircraft Services enhances Mountain Air Cargo's MRO capabilities and geographic footprint, strengthening its service network.
This acquisition represents a strategic expansion of Mountain Air Cargo's maintenance, repair, and overhaul (MRO) capabilities through the addition of Royal Aircraft Services' Hagerstown, MD operation. The move creates several notable operational advantages for Air T's subsidiary.
By maintaining Royal Aircraft Services as a separate brand, MAC preserves the acquired company's established market reputation while gaining access to its specialized maintenance expertise. This approach minimizes integration risks while allowing for knowledge transfer between organizations.
From an operational perspective, this acquisition delivers three key benefits:
- Geographic expansion into the Mid-Atlantic region, potentially reducing aircraft repositioning costs
- Increased maintenance capacity to service existing and new clients
- Diversification of technical capabilities through Royal's specialized knowledge
The integration aligns with the industry-wide trend of MRO consolidation, as providers seek scale advantages amid increasing maintenance complexity and regulatory requirements. For Air T, the expanded MRO network should enhance their ability to service aviation clients more comprehensively while potentially capturing operational efficiencies.
While financial terms weren't disclosed, this type of targeted acquisition typically represents a modest capital allocation focused on enhancing service capabilities rather than transformative financial impact. The retained leadership of Royal Aircraft suggests continuity of operations, indicating Air T is acquiring both physical assets and institutional knowledge.
MINNEAPOLIS, MN / ACCESS Newswire / May 21, 2025 / Air T, Inc. (NASDAQ:AIRT) is pleased to announce that Mountain Air Cargo (MAC), a wholly-owned subsidiary, has successfully completed the acquisition of Royal Aircraft Services in Hagerstown, MD. This strategic move strengthens MAC's commitment to providing top-tier aircraft maintenance, repair, and overhaul (MRO) services, while expanding its capabilities and footprint in the aviation industry.
"Royal Aircraft Services has a long-standing reputation for excellence in aircraft maintenance and support," said Mike Bandalan, CEO of Mountain Air Cargo. "This acquisition aligns perfectly with our mission to enhance operational efficiency and service quality for our valued partners. We look forward to integrating their expertise with our established MRO network."
Royal Aircraft Services will continue to operate under its existing name, maintaining its focus on delivering superior aircraft services. The partnership allows MAC to leverage Royal's specialized knowledge while enhancing operational capacity across key markets.
"Partnering with Mountain Air Cargo marks an exciting new chapter for Royal Aircraft Services," said Pamela and Austin Heffernan, longtime owners of Royal Aircraft Services. "With our shared commitment to aviation excellence, this transition will strengthen service capabilities and enhance value for Royal's customers and stakeholders. We are confident that under new ownership, Royal will continue to thrive and build on its legacy of quality and expertise."
NOTE REGARDING STAKEHOLDER QUESTIONS
If you have questions related to this release or other Air T matters, please use our interactive Q&A capability, through Slido.com, accessible from our website, to submit your questions. We intend to keep that link open and available for shareholder questions. Questions submitted through Slido will be answered "live" and in writing at our Annual Meeting, and via a written response on a quarterly basis. Note that legal and pragmatic requirements restrict us from answering every question posted, yet we intend to address all reasonable and relevant questions with a written answer.
ABOUT AIR T, INC.
Established in 1980, Air T Inc. is a portfolio of powerful businesses and financial assets, each of which is independent yet interrelated. Its core segments are overnight air cargo, aviation ground support equipment manufacturing and sales, commercial jet engines and parts, and corporate and other. We seek to expand, strengthen and diversify Air T's after-tax cash flow per share. Our goal is to build Air T's core businesses, and when appropriate, to expand into adjacent and other industries. We seek to activate growth and overcome challenges while delivering meaningful value for all stakeholders. For more information, visit www.airt.net. The information on our website is available for information purposes only and is not incorporated by reference into this press release.
ABOUT MOUNTAIN AIR CARGO INC.
Mountain Air Cargo (MAC), a wholly owned subsidiary of Air T Inc., is a leading provider of air cargo services and aircraft maintenance solutions. With over four decades of industry expertise, MAC operates a diverse fleet, including ATR and Cessna aircraft, to support domestic and international cargo operations. Committed to excellence, MAC delivers reliable, on-time service to major global logistics providers while maintaining FAA and EASA-certified maintenance repair overhaul (MRO) capabilities. With a reputation built on safety, precision, and customer satisfaction, MAC continues to expand its operational reach and service offerings in the aviation industry.
ABOUT ROYAL AIRCRAFT SERVICES, LLC
Royal Aircraft Services is a respected provider of aircraft maintenance, repair, and overhaul (MRO) services, known for its expertise in delivering high-quality solutions to the aviation industry. With a commitment to safety, precision, and operational excellence, Royal Aircraft Services supports a range of aircraft maintenance needs, ensuring reliability and efficiency for its clients. In addition to its comprehensive MRO capabilities, Royal Aircraft Services operates a FAA-certified aircraft painting facility, offering custom painting and refinishing services. With decades of experience and a dedicated team of aviation professionals, Royal Aircraft Services continues to uphold its reputation for technical expertise and customer-focused service, making it a trusted partner for aircraft operators and logistics providers.
CONTACT:
Katrina Philp
kphilp@airt.net
SOURCE: Air T, Inc.
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