NJS Sold Off

[Greg Hyde]

The administrators of Regional Express Holdings Limited, trading as Rex - Regional Express (ZL, Wagga Wagga), have confirmed the sale of its 50% stake in National Jet Express (JTE, Adelaide International) to entities controlled by other National Jet shareholders. The sale was announced in a Australian Stock Exchange (ASX) filing on December 2.

National Jet Express (NJE) is a charter operator specialising in fly-in fly-out (FIFO) flights for the mining and resources sector. Regional Express Holdings acquired the carrier from Cobham Group in 2022. Rex took a 50% stake, while entities associated with Rex, including its then chairman Lim Kim Hai, took the remainder. The acquisition was designed to diversify Rex's revenue base and provide it with an entrée card into the lucrative FIFO sector. NJE should not be confused with the Qantas Group-owned National Jet Systems (Adelaide International).

Twelve months later, Rex called in the administrators after a venture into scheduled B737-800 operations went awry. The administrators, Ernst & Young, are now selling off the airline's assets, including Pel-Air Aviation (PFY, Sydney Kingsford Smith), and now National Jet Express. Both subsidiaries are profitable.

Australian company records show that on November 22, changes were made to the shareholdings of National Jet Express Pty Ltd. Lim Kim Hai now holds a 55% stake in National Jet Express and is the entity's chairman, while Tjoa Thian Song holds a 45% stake. Alexander Ananian-Cooper, NJE's executive director of business development, remains a director. The ASX filing did not disclose a sale price. ch-aviation is told it will be disclosed to creditors as part of the usual process.

"Proceeds from the sale of share in National Jet Express will be used by the Rex Group to pay secured debt," the filing says.
According to ch-aviation fleets data, National Jet Express operates 21 aircraft, namely four BAe 146-300(QT)s, ten DHC-8-Q400s, and seven E190s.

Rex continues to operate scheduled turboprop services with Australian government backing. That arm of the business remains on the market.