Apollo joins KKR at $10 billion Atlantic Aviation valuation

Apollo-managed funds acquired a significant interest in Atlantic Aviation, one of the largest US private aviation infrastructure platforms, in a transaction valuing the company at nearly $10 billion while KKR retains a substantial ownership stake.

"Atlantic has built an irreplicable infrastructure footprint across the nation's busiest airports, underpinned by long-term concession agreements and a customer base that values reliability and service above all else," said David Cohen, Partner at Apollo. "The private aviation market has structural tailwinds that we believe will persist."

The deal follows Bloomberg's March report that Apollo was nearing an agreement to acquire Atlantic from KKR, with Singapore's GIC initially cited as a co-investor. KKR, which acquired Atlantic in 2021, will remain a substantial shareholder and is funding its continued investment primarily through its infrastructure vehicles. Apollo has originated more than $155 billion of infrastructure transactions over the past five years, while KKR manages more than $120 billion in infrastructure assets and has invested more than $12 billion across the aviation sector since 2015.

Atlantic operates a fixed-base operator network providing aircraft fueling, hangar leasing and other essential services through long-term airport concession agreements across high-activity airfields. Since KKR's 2021 acquisition, the company has expanded locations through strategic acquisitions and organic growth in the US and select international markets. The dual-sponsor structure gives Atlantic access to Apollo's infrastructure capital for targeted investment and new market expansion, while KKR's continued involvement preserves operational continuity under CEO Jeff Foland.

Concession agreements anchor a $10 billion platform

The transaction reflects growing institutional appetite for private aviation infrastructure, where concession agreements create predictable, location-dependent revenue streams. Apollo's infrastructure group, a key growth vertical for the firm, has deployed flexible, large-scale capital across essential assets. The firm reported approximately $1.05 trillion in assets under management as of June 30.

For KKR, the partnership extends a nearly two-decade infrastructure investing track record. The firm's aviation investments since 2015 total more than $12 billion, and its infrastructure business manages more than $120 billion in assets. KKR Partner Dash Lane said the firm believes "there is meaningful opportunity ahead" for Atlantic and welcomed Apollo Funds as new investors. "Our continued support of the company reflects our conviction in both the strength of the platform and the long-term growth of the sector," Lane said.

Atlantic CEO Jeff Foland called the transaction a powerful endorsement of the company's people and performance, noting that two of the world's most respected investment firms chose to invest in Atlantic. KKR has also supported significant investment in employee health and safety, resulting in Atlantic having one of the best safety records in the industry.

Apollo's infrastructure push extends across aviation

The transaction arrives as Apollo's stock trades at $124.69, down 15.6 percent over the past year, with a market capitalization of approximately $71.6 billion. The firm has been actively deploying capital across infrastructure, including a $1.5 billion offshore energy fund with Singapore's Keppel and a $7.7 billion takeover of EasyJet. KKR's continued stake in Atlantic maintains its exposure to a sector with structural demand growth from corporate and general aviation customers.

The deal also points to continued consolidation in private aviation services, where scale and airport access are key competitive advantages. Atlantic's diversified footprint across high-activity airfields, combined with long-term concession agreements, positions the company to capture growth as business aviation demand expands. Apollo's infrastructure group has been a key growth vertical for the firm, deploying flexible capital solutions across energy, transportation, digital and industrial sectors.

The transaction does not disclose the purchase price or exact ownership percentages, leaving the economic terms of the ownership change unquantified. Both firms have indicated the deal is expected to close subject to customary conditions, though no specific timeline has been provided.

Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to the Apollo Funds. Evercore and Morgan Stanley & Co. LLC served as financial advisors, and Kirkland & Ellis served as legal advisor to KKR.

This article is for informational purposes only and does not constitute investment advice.