Regional Express Airlines, also known as Rex, has found a US buyer after going into voluntary administration last July.
In an announcement released last week, administrators revealed that Air T, a US-based air services company, had entered into a sale and implementation deed with Rex Airlines. Based in Minneapolis, Air T is a group of 16 companies providing air cargo, commercial aircraft, engines and parts, as well as aviation ground support.
The sale will result in a change to the capital structure of business operations, and the continued services of Rex Airlines to regional and rural destinations.
Rex is Australia’s largest regional airline, flying to 53 destinations across Australia with a fleet of Saab 340 aircraft. The company entered into voluntary administration in July 2024, after acquiring $50 million in debt, with the government agreeing to underwrite continued operations until this December while administrators searched for a buyer.
“The Administrators would like to thank the Australian Government for their support to date in assisting to facilitate the proposed transaction,” a statement read.
This message was echoed by Federal Minister for Infrastructure, Transport and Regional Development, Catherine King, who emphasised the positive implications of the upcoming sale.
“The Australian Government has also entered into an agreement with Air T in relation to restructuring Rex’s financing arrangements in connection with the acquisition,” Ms King said in a statement.
“This will allow Rex to keep flying and maintain critical aviation links for regional communities.”
The upcoming sale means Rex will continue servicing regional communities, acting as an important support for tourism in these areas.
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