Air T Inc. has entered into a significant financial agreement to support its latest acquisition. Effective May 15, 2025, its wholly-owned subsidiary, Mountain Air Cargo, Inc. $(MAC)$, completed the acquisition of Royal Aircraft Services, LLC, a Maryland-based company specializing in aircraft painting, maintenance, repair, and overhaul services. To facilitate this acquisition, Air T Inc. and its affiliated entities, including Air'Zona Aircraft Services, Inc. and others, secured Amendment No. 4 to their Credit Agreement with Alerus Financial, National Association, and Royal. This amendment includes Term Loan C, amounting to $1,050,000, which covers the full purchase price of the acquisition. The loan, maturing on May 15, 2030, bears interest at the greater of 5% or the CME one-month term SOFR rate plus 2.25%. Monthly payments will commence on June 15, 2025, at $12,500 plus accrued interest. This financial move underscores Air T's strategic expansion in the aviation services sector.
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