Southern Airways Corporation – the parent of Southern Airways Express (9X, Memphis International) – is to merge with hybrid-electric aircraft specialist Surf Air Mobility and will go public on the NASDAQ stock exchange later this year.
The companies have entered into a definitive agreement to this effect, subject to closing conditions and regulatory approval, they announced in a joint statement. The merger would create the US' leading air mobility platform with scheduled routes and on-demand charter flights operated by Southern and other third-party operators.
The definitive agreement coincided with Surf Air Mobility’s announcement that it plans to go public through a merger with Tuscan Holdings Corp. II, subject to the satisfaction or waiver of certain closing conditions.
Surf Air Mobility intends to upgrade Southern’s current fleet of nearly forty Cessna (single turboprop) 208B Grand Caravans to hybrid-electric aircraft using technology developed along with magniX and AeroTEC, two pioneers and market leaders in aviation innovation and electrification. "Cessna Grand Caravans are the most prolific aircraft in their category, with over 2,800 delivered,” the statement read.
“Southern Airways sees the regional routes between 50 and 500 miles that we’re currently flying as the quickest, most practical solution for bringing electric air travel to market. We’re excited to be a part of Surf Air Mobility’s mission to electrify aviation and to bring sustainable innovation to market faster,” said Southern Airways Chairman and Chief Executive Officer Stan Little, who will continue to run the airline post-merger and will serve as President of Surf Air Mobility.
Surf Air Mobility Chairman Carl Albert said: “Southern’s fleet of Cessna Caravans will be the foundation for the next generation of aircraft as we upgrade the fleet to hybrid electric powertrains. Our first generation of electrified aircraft will meaningfully decarbonize aviation and help alleviate the environmental impact of flying by targeting emission reductions by as much as 25% versus conventional propulsion systems.”
Southern's Hawaii subsidiary, Mokulele Airlines (MHO, Kona), in a separate statement, said its pilots, station staff, and leadership team would remain intact post-transaction, while tickets would remain on sale through the company website.
Mokulele Airlines is in the process of adding Saab 340Bs. "In addition to the 30-seat aircraft that we are bringing to Molokai and Lanai City this summer, we have negotiated an agreement to purchase 100 new Cessna Grand Caravans that will be entering our fleet at the rate of three per quarter beginning later this year," the subsidiary said.
Southern Airways Express is one of the largest commuter airlines in the US, operating a fleet of Cessna Caravans and Beech (twin turboprop) King Air Super 200s, and PC-12s. It also has twenty Regent Craft (North Kingstown) Seagliders on order.
Together with Mokulele Airlines, the regional commuter specialist serves 39 cities from hubs at Dallas/Fort Worth, Denver International, Honolulu, Kahului, Los Angeles International, Memphis International, Nantucket, Phoenix, Pittsburgh International, and Washington Dulles. Southern Airways Express has interline agreements with American Airlines, United Airlines, and Alaska Airlines.
