CHARLOTTE — Air T Funding filed with the SEC last week to disclose the private placement of nearly $4 million in Trust Preferred Securities. The company, which trades on NASDAQ as AIRTP, reportedly offered $17 per share for a 12.1% yield to maturity.
Air T is a company investing across three “core” business segments: Commercial Aircraft, Jet Engines & Parts, Overnight Air Cargo, and Aviation Ground Support Equipment. The company counts 10 businesses across these and other industries, including Mountain Air Cargo, Inc. (MAC) based out of Denver, NC.
Air T has corporate offices in Denver, NC, and Minneapolis, MN; the SEC filing was signed by Air T Chief Financial Officer Brian Ochocki, and provided a Charlotte address.
According to a company press release, the incoming capital will be used for investment across the subsidiary businesses. Kansas-based Global Ground Support will receive funding for fleet deicers. Funds will also be used for leases on aircraft and engine assets, and investment in expanding business software to support aviation parts distributors and maintenance facilities. MAC will see additional working capital to support aircraft fleet expansion.
The press release also notes that this private placement of securities compliments a current at-the-market offering at the same $17 per share rate. The company is actively working to raise up to $5.4 million.