Aircraft Orders & Deliveries
Titan Aviation Sells Two Boeing 737-800SF Freighters to ST Engineering
Titan Aviation Leasing completes sale of Boeing 737-800SF freighters to ST Engineering, showcasing strategic fleet management in air cargo.
In a significant move within the global air cargo sector, Titan Aviation Leasing, the freighter-focused leasing arm of Atlas Air Worldwide, has completed the sale of two Boeing 737-800SF aircraft to ST Engineering. Announced on November 12, 2025, this transaction is more than a simple exchange of assets; it represents a calculated maneuver by two industry titans, reflecting disciplined financial strategy and a forward-looking approach to the evolving demands of air freight. The deal underscores the intricate relationships between lessors, engineering firms, and operators that define the modern aviation landscape.
The transaction involves two aircraft that were converted from passenger to freighter configuration in 2022 and are currently on long-term leases to Georgian Airlines and ASL Airlines. For Titan Aviation Leasing, a joint venture between Atlas Air’s Titan Aviation Holdings and private equity firm Bain Capital, the sale is a strategic redeployment of capital. For ST Engineering, a global leader in technology and engineering, it marks a key step in expanding its own aviation asset management portfolio. This exchange highlights the lifecycle of aviation assets and the ongoing recalibration of fleets to meet market dynamics, particularly in the popular narrowbody freighter segment.
As the air cargo market continues to stabilize after a period of unprecedented growth fueled by e-commerce, moves like this provide a clear window into corporate strategy. It showcases how established players are optimizing their portfolios, selling mature, high-value assets to fund new acquisitions while partners seize opportunities to grow their own fleets and lessee networks. This deal is a testament to the health and dynamism of the freighter conversion market and the long-term confidence in assets like the Boeing 737-800SF.
Titan Aviation Leasing’s decision to sell the two Boeing 737-800SF aircraft is a clear execution of its stated strategy: managing assets actively to maximize value and reinvest in growth. By selling in-service aircraft, Titan realizes the value of these mature assets, which can then be funneled into new, accretive opportunities. This approach ensures a healthy and modern fleet while maintaining operational stability for the airlines currently leasing the aircraft. The seamless transition to ST Engineering ensures that Georgian Airlines and ASL Airlines experience no disruption.
This sale does not signal a slowdown for Titan. On the contrary, it fuels further expansion. Recent activities underscore this, including the acquisition of a Boeing 777-300ER in October 2025 and two Airbus A330-300P2F freighters in September 2025. These moves indicate a clear focus on diversifying and upgrading its portfolio with modern, in-demand widebody and narrowbody freighters. The capital from the 737-800SF sale directly supports this forward-thinking acquisition strategy, positioning Titan to capitalize on what it sees as continued high demand for cargo capacity.
The leadership at Titan and its parent companies have emphasized this strategic vision. Eamonn Forbes, Chief Commercial Officer at Titan, noted the deal demonstrates a “disciplined approach to capital allocation.” This sentiment was echoed by Michael Steen, CEO of Atlas Air Worldwide, who called the sale “a testament to Titan’s versatile asset management model.” Matt Evans, a Partner at Bain Capital, also highlighted the sale of these “high-quality aircraft assets” to a respected partner, reinforcing the successful model of the joint venture.
“This transaction demonstrates our disciplined approach to capital allocation. Selling in-service aircraft to a strategic partner like ST Engineering allows us to realize value while ensuring continuity for our airline customers. It also positions us to pursue accretive growth opportunities in a market where demand for modern freighter capacity continues to outpace supply.”
– Eamonn Forbes, Chief Commercial Officer, Titan Aviation Leasing
From the buyer’s perspective, the acquisition is a strategic win. ST Engineering, a powerhouse in the MRO sector, has been steadily growing its aviation asset management division. Acquiring these two Boeing 737-800SF aircraft allows the company to immediately expand its freighter portfolio with reliable, next-generation assets. Furthermore, the deal brings two new lessees, Georgian Airlines and ASL Airlines, into its fold, diversifying its customer base and strengthening its market position. The choice of the 737-800SF is also significant. This aircraft model, a conversion of the highly successful 737-800 passenger jet, has become a workhorse in the narrowbody freighter market. It offers greater volume and an additional pallet position compared to its predecessors, making it ideal for the e-commerce and express cargo routes that have seen explosive growth. By adding these aircraft, ST Engineering is investing in a platform with a proven track record and a strong future in regional and medium-haul freight.
Ramesh Krishna, Head of Aircraft Leasing at ST Engineering’s Aviation Asset Management, framed the acquisition as part of a larger goal. He stated the collaboration helps “build up our portfolio of next-generation green freighter aircraft,” underscoring a commitment to both fleet flexibility and long-term value. This move aligns with ST Engineering’s broader activities, including its expertise in freighter conversions and its expansion of MRO facilities, such as the new joint venture in Ezhou, China, solidifying its role as an end-to-end service provider in the global aerospace industry.
This transaction is set against the backdrop of a dynamic and maturing market for converted freighters. The demand for passenger-to-freighter (P2F) conversions, especially for the Boeing 737-800, surged in recent years. The fleet size approached 250 aircraft in 2024, with a peak of 72 conversions completed in 2023 alone. This boom was a direct response to the global rise of e-commerce and the need for efficient, reliable cargo transport.
However, the market is now showing signs of stabilization. The post-pandemic rebound in passenger air travel has made “feedstock”, the passenger aircraft suitable for conversion, more scarce and expensive. This has led to a slowdown in new conversion orders and some analysis pointing to a potential near-term oversupply of narrowbody freighters. Despite this, industry experts remain optimistic about the long-term outlook, with many projecting that demand will return to a more normal growth trajectory by mid-2026. This sale, therefore, can be seen as a strategic positioning by both Titan and ST Engineering in a market that is transitioning from a period of rapid expansion to one of sustained, stable demand.
The sale of two Boeing 737-800SF aircraft from Titan Aviation Leasing to ST Engineering is a prime example of strategic asset management in action. For Titan and its partners, it represents a successful realization of value from mature assets, providing the capital to reinvest in new aircraft and future growth. For ST Engineering, it is a targeted acquisition that expands its freighter portfolio and lessee base with high-demand, modern assets. The deal is a clear win-win, reflecting the sophisticated financial and operational strategies that govern the top tier of the aviation industry.
Ultimately, this transaction does more than just transfer ownership of two aircraft. It offers a snapshot of the broader air cargo ecosystem, where collaboration and strategic foresight are paramount. It underscores the enduring value of converted freighters in the logistics chain and signals confidence in the sector’s long-term stability, even as market conditions evolve. As companies continue to navigate the post-boom landscape, such disciplined and mutually beneficial deals will likely become a hallmark of sustained success.
Question: Who were the main companies involved in this aircraft sale? Question: What specific type of aircraft was sold? Question: Why is this transaction considered strategic?
Strategic Fleet Management: Titan and ST Engineering Finalize Deal for Two 737-800SF Freighters
A Disciplined Approach to Capital and Growth
ST Engineering’s Strategic Portfolio Expansion
The Broader Context: A Maturing Freighter Market
Conclusion: A Win-Win in a Shifting Market
FAQ
Answer: The seller was Titan Aviation Leasing, which is a joint venture between Titan Aviation Holdings, Inc. (a subsidiary of Atlas Air Worldwide) and the private equity firm Bain Capital. The buyer was ST Engineering, a global technology, defense, and engineering group based in Singapore.
Answer: The sale involved two Boeing 737-800SF aircraft. These are not factory-built cargo planes but are passenger Boeing 737-800s that have been converted into freighters (a process known as P2F conversion).
Answer: It is strategic because it aligns with the distinct goals of both companies. Titan Aviation Leasing sold the aircraft to redeploy capital from what it considers mature assets into new aircraft acquisitions. ST Engineering bought the aircraft to expand its freighter portfolio and add two new airline customers (lessees) to its business.
Sources
Photo Credit: Cargo Facts
Aircraft Orders & Deliveries
Aergo Capital Acquires Boeing 737 MAX 8 from Aircastle Leased to WestJet
Aergo Capital acquires a Boeing 737 MAX 8 from Aircastle currently leased to WestJet, highlighting active secondary market demand and expanding Aergo’s aviation portfolio.
This article is based on an official press release from Aergo Capital.
Dublin-based aircraft leasing and asset management platform Aergo Capital has announced the acquisition of one Boeing 737 MAX 8 aircraft from Aircastle. The transaction, announced on December 16, 2025, involves an aircraft bearing Manufacturer Serial Number (MSN) 60513, which is currently on lease to Canadian carrier WestJet.
This acquisition marks a continuation of Aergo Capital’s strategy to invest in modern, fuel-efficient narrowbody aircraft. According to the company’s official statement, the deal underscores the active secondary market for the 737 MAX and strengthens the trading relationship between the two major lessors. The aircraft remains in operation with WestJet, ensuring continuity for the airline while transferring asset ownership to Aergo.
The deal highlights the growing collaboration between Aergo Capital and WestJet, following significant transactions earlier in the operational year. By acquiring this asset, Aergo expands its portfolio of liquid, in-demand aviation assets while Aircastle executes its strategy of active portfolio management.
The specific asset involved in the transaction is a Boeing 737 MAX 8, identified by MSN 60513. Fleet data indicates this aircraft operates under the registration C-GRAX. Originally delivered during the initial rollout phase of the MAX program, the aircraft is approximately eight years old and represents the current generation of Boeing’s narrowbody technology.
Fred Browne, Chief Executive Officer of Aergo Capital, emphasized the importance of the acquisition in strengthening ties with both the seller and the lessee. In a statement regarding the deal, Browne noted:
“We are pleased to complete the acquisition of this Boeing 737 MAX 8 from Aircastle… I also extend my thanks to WestJet for their continued partnership and support.”
On the seller’s side, Aircastle, a Stamford-based lessor owned by Marubeni Corporation and Mizuho Leasing, viewed the sale as a testament to their strong commercial network. Michael Inglese, CEO of Aircastle, commented on the relationship between the firms:
“We value the long-standing trading relationship we have built with Aergo… The acquisition underscores the strong commercial relationship between Aergo and Aircastle.”
This transaction is not an isolated event but rather part of a deepening relationship between Aergo Capital and WestJet. In August 2024, Aergo completed a significant sale-and-leaseback transaction involving eight Boeing 737-800 aircraft with the Canadian airline. That deal marked the first major collaboration between the two entities. The addition of this 737 MAX 8 further cements Aergo’s position as a key partner in WestJet’s fleet financing structure. For Aircastle, the sale aligns with a strategy of capital recycling and portfolio optimization. Trading assets with leases attached is a common practice in the aircraft leasing industry, allowing lessors to manage age profiles and risk exposure. For WestJet, the transaction represents a “backend” change of lessor; the airline retains physical possession and operational control of the aircraft, merely redirecting lease payments to the new owner, Aergo Capital.
The Secondary Market for the MAX 8
The transfer of a Boeing 737 MAX 8 between two major lessors highlights the intense demand for this asset class in the secondary market. With new aircraft production facing documented delays across the industry, “on-lease” assets, aircraft that are already built, certified, and generating revenue, have become premium commodities.
While an eight-year-old airframe might typically be considered approaching mid-life, the 737 MAX 8 remains a current-generation asset offering approximately 14% better fuel efficiency than its predecessors. For lessors like Aergo Capital, acquiring such an asset avoids the long wait times associated with factory order books. For the industry at large, this trade signals that liquidity for the MAX platform remains robust, despite, or perhaps because of, supply chain constraints limiting the delivery of new metal.
Sources:
Aergo Capital Acquires WestJet-Leased Boeing 737 MAX 8 from Aircastle
Transaction Overview and Executive Commentary
Strategic Context and WestJet Partnership
Deepening Ties with WestJet
Asset Liquidity and Market Demand
AirPro News Analysis
Photo Credit: Aergo Capital
Aircraft Orders & Deliveries
Qanot Sharq Receives First Airbus A321XLR in Central Asia
Qanot Sharq becomes Central Asia’s first operator of the Airbus A321XLR, expanding long-haul routes to North America and Asia from Tashkent.
This article is based on an official press release from Airbus and Qanot Sharq.
On December 19, 2025, Qanot Sharq, Uzbekistan’s first private airline, officially took delivery of its first Airbus A321XLR (Extra Long Range) aircraft. The delivery, facilitated through a lease agreement with Air Lease Corporation (ALC), marks a historic milestone for aviation in the region, as Qanot Sharq becomes the launch operator of the A321XLR in Central Asia and the Commonwealth of Independent States (CIS).
This aircraft is the first of four confirmed A321XLR units destined for the carrier. According to the official announcement, the airline intends to utilize the aircraft’s extended range to open new long-haul markets that were previously inaccessible to single-aisle jets, including planned services to North America and East Asia.
The newly delivered A321XLR is powered by CFM International LEAP-1A engines and features a two-class layout designed to balance capacity with passenger comfort on longer sectors. The aircraft accommodates a total of 190 passengers.
In addition to the seating configuration, the aircraft is fitted with Airbus’ “Airspace” cabin interior. Key features include customizable LED lighting, lower cabin altitude settings to reduce jet lag, and XL overhead bins that provide 60% more storage capacity compared to previous generation aircraft.
Nosir Abdugafarov, the owner of Qanot Sharq, emphasized the strategic importance of the delivery in a statement regarding the fleet expansion.
“The A321XLR’s exceptional range and efficiency will allow us to offer greater comfort and convenience while maintaining highly competitive operating economics.”
, Nosir Abdugafarov, Owner of Qanot Sharq
The introduction of the A321XLR allows Qanot Sharq to deploy a narrowbody aircraft on routes typically reserved for widebody jets. With a range of up to 4,700 nautical miles (8,700 km), the airline plans to connect Tashkent with destinations in Europe, Asia, and North America.
According to the airline’s strategic roadmap, the new fleet will support route expansion to Sanya (China) and Busan (South Korea). Furthermore, the airline has explicitly outlined plans to serve New York (JFK) via Budapest. While the A321XLR has impressive range, the distance between Tashkent and New York (approximately 5,500 nm) necessitates a technical stop. Budapest will serve as this intermediate point, potentially allowing the airline to tap into passenger demand between Central Europe and the United States, subject to regulatory approvals. AJ Abedin, Senior Vice President of Marketing at Air Lease Corporation, noted the geographical advantages available to the airline.
“Qanot Sharq is uniquely positioned to unlock the full potential of the A321XLR due to its strategic location in Uzbekistan, bridging Europe and Asia.”
, AJ Abedin, SVP Marketing, Air Lease Corporation
The delivery of the A321XLR signals a distinct shift in the competitive landscape of Uzbek aviation. Until now, long-haul flights from Tashkent,specifically to the United States,have been the exclusive domain of the state-owned flag carrier, Uzbekistan Airways, which utilizes Boeing 787 Dreamliners for non-stop service.
By adopting the A321XLR, Qanot Sharq appears to be pursuing a “long-haul low-cost” hybrid model. The A321XLR burns approximately 30% less fuel per seat than previous-generation aircraft, allowing the private carrier to operate long routes with significantly lower trip costs than its state-owned competitor. While the one-stop service via Budapest will result in a longer total travel time compared to Uzbekistan Airways’ direct flights, the lower operating costs could allow Qanot Sharq to offer more competitive fares, appealing to price-sensitive travelers and labor migrants.
Furthermore, the choice of Budapest as a stopover is strategic. If Qanot Sharq secures “Fifth Freedom” rights,which are currently a subject of regulatory negotiation,it could monetize the empty seats on the Budapest-New York sector, effectively competing in the transatlantic market while serving its primary base in Central Asia.
Sources: Airbus Press Release, Air Lease Corporation
Qanot Sharq Becomes First Central Asian Operator of Airbus A321XLR
Aircraft Configuration and Capabilities
Strategic Network Expansion
AirPro News Analysis: The Long-Haul Low-Cost Shift
Sources
Photo Credit: Airbus
Aircraft Orders & Deliveries
China Airlines Orders Five Additional Airbus A350-1000 Aircraft
China Airlines adds five Airbus A350-1000s to its fleet, enhancing capacity on transpacific and European routes with deliveries from 2026.
This article is based on an official press release from Airbus and additional industry data regarding fleet modernization.
China Airlines (CAL) has officially signed a firm orders for five additional Airbus A350-1000 aircraft, signaling a continued commitment to modernizing its long-haul operations. Announced on December 18, 2025, this agreement increases the Taiwan-based carrier’s total backlog for the A350-1000 variant to 15 aircraft. The move is part of a broader strategy to replace aging widebody jets and enhance capacity on high-density routes connecting Asia with North America and Europe.
According to the official statement released by Airbus, these new aircraft will join the airline’s existing fleet of 15 A350-900s. The decision to expand the A350-1000 order book underscores the operator’s reliance on the A350 family’s commonality, which allows for streamlined pilot training and maintenance procedures. Deliveries for the newly ordered jets are scheduled to commence in 2026 and continue through 2029.
The deal also highlights the competitive landscape of widebody aviation in the Asia-Pacific region. By securing these additional units, China Airlines aims to deploy its flagship product on slot-constrained routes where maximizing passenger count per movement is critical. The aircraft will be powered by Rolls-Royce Trent XWB-97 engines, known for their efficiency in long-range operations.
China Airlines plans to utilize the A350-1000 primarily for its most prestigious long-haul markets. Industry reports indicate that the aircraft will be deployed on key transpacific routes to New York (JFK), Los Angeles (LAX), Seattle (SEA), and Ontario, California (ONT), as well as European hubs like London Heathrow (LHR). The A350-1000 offers significantly higher capacity than the -900 variant, making it a strategic asset for airports with limited landing slots.
Coinciding with these deliveries, the airline is preparing to unveil a major upgrade to its onboard product. Sources familiar with the carrier’s fleet planning suggest a new cabin design will debut in 2027. This retrofit is expected to feature business class suites with closing doors, 4K entertainment screens, and wireless charging capabilities, aiming to rival premium competitors such as Singapore Airlines and Cathay Pacific.
The interior aesthetic will likely continue the carrier’s “Oriental aesthetics” theme, utilizing persimmon wood-grain finishes and mood lighting to evoke a boutique hotel atmosphere. While the current A350-900 seats 306 passengers, the larger -1000 variant is projected to accommodate between 350 and 400 passengers, providing a substantial boost in premium economy and economy seat inventory.
Both China Airlines and Airbus executives emphasized the efficiency and passenger comfort benefits of the A350-1000. In the official press release, Kao Shing-Hwang, Chairman of China Airlines, noted the alignment of this order with the carrier’s sustainability and service goals. “Expanding our A350-1000 fleet marks another important step in our long-term growth strategy. The A350’s exceptional efficiency and passenger comfort align with our goals to modernize our fleet, enhance long-haul competitiveness, and deliver an elevated travel experience to our customers.”
Kao Shing-Hwang, Chairman of China Airlines
Benoit de Saint-Exupéry, Airbus EVP Sales, added that the repeat order validates the aircraft’s performance in the heavy widebody segment.
“This follow-on order is a strong vote of confidence in the A350-1000 as the right aircraft for China Airlines’ future network ambitions. Its next-generation efficiency, range, and cabin comfort brings even greater value to the airline and its passengers.”
Benoit de Saint-Exupéry, Airbus Sales
This order reinforces a “split fleet” procurement strategy that has become increasingly common among major global carriers. While China Airlines has committed to the Boeing 777X for specific high-volume trunk routes and the 787 Dreamliner for regional replacement, the expansion of the A350-1000 fleet secures Airbus’s position as the backbone of the airline’s medium-to-large widebody operations.
From a financial perspective, based on 2025 list prices of approximately $366.5 million per unit, the deal holds a theoretical face value of roughly $1.83 billion, though actual acquisition costs are typically 40-50% lower after standard industry discounts. Environmentally, the shift is significant; the A350-1000 offers a 25% reduction in fuel burn compared to the previous generation aircraft it replaces, such as the Boeing 747-400 freighters and older passenger jets. This efficiency gain is a critical component of the airline’s roadmap to achieving Net Zero carbon emissions by 2050.
China Airlines Bolsters Long-Haul Capacity with Additional A350-1000 Order
Strategic Deployment and Cabin Innovation
Next-Generation Passenger Experience
Executive Commentary
AirPro News Analysis
Sources
Photo Credit: Airbus
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