Apollo Global Management has agreed to acquire Sun Country Airlines, the largest privately-held fully independent airline in the United States, from brothers Marty and Mitch Davis.
Sun Country flies passengers to leisure destinations across the US and internationally and specializes in flying from cold weather locales to warm weather destinations. The company, which currently flies approximately 2.5 million passengers per year, enjoys a significant brand presence in the Minnesota region and operates from Minneapolis–Saint Paul International Airport and Dallas/Fort Worth International Airport. Sun Country is headquartered in the Minneapolis suburb of Eagan, MN (www.suncountry.com).
In June 2011, Marty and Mitch Davis acquired Sun Country out of bankruptcy for $34 million. “I’d like to thank Marty and Mitch for their strong support and stewardship of this very special airline,” said CEO Jude Bricker. “I look forward to working with Apollo to further enhance and grow Sun Country’s business.”
Apollo (NYSE: APO) has total assets under management of $242 billion in private equity, credit and real estate funds invested across a core group of nine industries: chemicals; commodities; consumer & retail; distribution & transportation; financial & business services; manufacturing & industrial; media, cable & leisure; packaging & materials; and satellite & wireless. The firm has offices in New York, Los Angeles, Houston, Chicago, St. Louis, Bethesda, Toronto, London, Frankfurt, Madrid, Luxembourg, Mumbai, Delhi, Singapore, Hong Kong and Shanghai (www.agm.com).
“We are tremendously excited about the acquisition of Sun Country,” said Antoine Munfakh, a Partner at Apollo. “Sun Country presents compelling opportunities for innovation, efficiency and growth. Underpinned by a solid foundation of assets and people, including an outstanding team of executives and talented flight crews, we believe Sun Country has a very bright future. We look forward to supporting CEO Jude Bricker in delivering the next chapter of Sun Country’s growth through the combination of operational excellence and the relentless pursuit of delivering customer service and value.”
“We are particularly pleased to sell Sun Country to Apollo because it has a proven track record for successfully helping companies grow and generate long-term value. With Jude at the helm, along with the dedicated employees who make Sun Country what it is today, we are confident the company is well-positioned for continued expansion and its evolution beyond its Minnesota base,” said Sun Country Chairman Marty Davis.
Barclays served as the financial adviser to Sun Country Airlines. The transaction is expected to close during the first quarter of 2018.
© 2017 Private Equity Professional | December 18, 2017
