Foursan Group and Jordan Fund Invest in Arab Wings Capital Raise Arab Wings/Royal Jordanian Air Academy Merger Completed
Amman, November 5, 2006
Foursan Group and the Jordan Fund announced today that they have each made additional investments in Arab Wings (“AW” or the “Company”) and that the merger of Arab Wings with the Royal Jordanian Air Academy (“RJAA”) has been completed. AW is one of the region’s premier executive jet companies, with a fleet of aircraft based in Amman and Dubai, and RJAA is one of the leading flight training academies in the region with 1500 students.
The capital raise at AW has enabled the Company to complete the purchase of two additional aircraft – a long-haul Challenger 604 and a medium-range Hawker 800XP. With these two new aircraft, AW has the full complement of aircraft to suit client needs, from short flights to longer-range ones.
Originally founded in 1975 as part of the national airline, AW was acquired in 2005 by a number of investors, including the Jordan Fund. Both the Fund and Foursan have been active in the establishment and growth of AW and in its proposed merger with the Royal Jordanian Air Academy. The merged entity will serve as a platform for additional acquisitions in the aviation services sector.
Leith Masri, partner at Foursan Group, said, “We have been tremendously pleased with the progress at AW. Since it began flight operations as an independent company with a new fleet in June 2005, the Company has had strong growth and has expanded its initial fleet of two aircraft to four aircraft today. By merging with the Air Academy, AW has found a powerful partner to expand in other aviation-related areas. The merger of AW and RJAA is a major milestone for both companies, and the merged entity will have substantially increased financial strength and diversification of earnings.”
About Foursan: Foursan Group is a private equity specialist with a primary focus on the Middle East region. Foursan has recently launched Foursan Capital Partners to invest throughout the Middle East, with a specific focus on markets that are “emerging” in the region. Foursan also manages the Jordan Fund, which it created along with Deutsche Bank and the Government of Jordan.
About the Jordan Fund: The Jordan Fund is a $50 million private equity fund established to invest in Jordanian companies. The Fund targets companies across a range of development stages, and has recently invested in the insurance, telecommunications, education, pharmaceutical and aviation sectors in Jordan. Foursan Group manages the Jordan Fund, which it created along with Deutsche Bank and the Government of Jordan.
About AW: Arab Wings is an executive jet charter company based in Amman, Jordan. The Company offers chartered luxury flights to corporate, individuals and government clients. Through this service, the Company ensures clients timely access to locations across the globe. Arab Wings flies four aircraft (a Challenger 604, two Hawker 800XPs, and a King Air B200) from its bases in Amman and Dubai. Originally established in 1975 as part of Royal Jordanian Airlines, the Company was acquired in 2005 by a group of financial and strategic investors who quickly acquired new aircraft and expanded the business to meet growing demand in the region.
About RJAA: RJAA is one of the leading flight training academies in the region. Established in 1966, RJAA was acquired by a group of private investors in 1992. Today, RJAA has 1,500 students and offers private and commercial pilot licenses and trains aircraft maintenance engineers and technicians.
