Seaborne Airlines Sold to Leonite Fund: What’s Next?
Seaborne Virgin Islands, a critical carrier for inter-island travel, has officially been sold. On July 1st, a Florida bankruptcy court finalized the sale of Seaborne Airlines to the Leonite Fund, a Delaware-based limited partnership. The winning bid, totaling $1.4 million, includes $700,000 in cash and the assumption of up to $675,000 in liabilities. The court order also ensures back pay, taxes, and other obligations are met, allowing Seaborne’s seaplane route between St. Thomas and St. Croix to continue uninterrupted.
Leonite Capital’s investment history reveals a focus on financial engineering rather than operational management. For example, in 2023, the firm purchased a commercial building in Florida for $5.5 million and sold it five days later for $8.5 million, securing a multimillion-dollar profit. Their portfolio also includes converting debt into equity in small public companies and collecting fees through private equity and debt restructuring. This raises questions about their plans for Seaborne Airlines.
As of now, Leonite Fund has made no public statements regarding its long-term intentions for Seaborne. There have been no announcements about airline operating certificates, fleet expansions, or executive staffing. While the airline’s operations will continue for now, the future direction under Leonite’s ownership remains uncertain.
Seaborne’s planes will continue to serve the Virgin Islands, but the course they follow under new ownership is yet to be determined.
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