NorthLink Aviation Secures Investment from Alaska Future Fund

Funds will be used to support construction of a purpose-built air cargo terminal at Ted Stevens Anchorage International Airport (KANC).

Northlink Aviation, the newly formed aviation infrastructure company developing and constructing a purpose-built air cargo terminal located on the south campus of Ted Stevens Anchorage International Airport (KANC) announced that the Alaska Future Fund is now helping to fund its project.

Terms of the deal were not disclosed. 

Sean Dolan, the new CEO of NorthLink said the deal is a nod to the “critical role” his company plays in improving Anchorage’s economy.

“Having the Alaska Future Fund invest in NorthLink reinforces the critical role that the company will play in growing the Anchorage economy by providing world class air cargo infrastructure at ANC,” Dolan said. “We are grateful for the support of the Alaska Future Fund and the investment they are making on behalf of all Alaskans.”

The Alaska Future Fund is a state-owned entity that makes capital investments to help the state’s economy. When the fund was created in 2019, it had an initial allocation of $200 million.

The managing director of the Alaska Future Fund at Barings LLC, Mina Pacheco Nazemi, expressed excitement over the new funding and said, “all Alaskans will benefit from this investment.”

Poised For Growth

In November, private equity firm Tiger Infrastructure Partners took a controlling interest in IC Alaska Airport LLC, renamed it NorthLink, and secured a 120-acre, 55-year lease at the airport.

The new terminal that’s being built includes:

  • 11 hardstands designed to allow aircraft to power-in and power-out
  • Modern air cargo warehouse with temperature-controlled facilities
  • Dual hydrant fueling system at each hardstand
  • Infrastructure to recover and recycle glycol used for deicing aircraft
  • LEED-certified office space for customers and the operations team

Why This Matters

KANC is the fourth largest cargo hub globally, behind Memphis, Hong Kong, and Shanghai. It’s also a strategic stopover hub, especially for routes between Asia and North America. 

The cargo market is seeing record growth. The International Air Transport Association recently projected cargo volume for airlines would grow 7.9 percent in 2021, compared to 2019, and demand would increase 13.2 percent above pre-pandemic levels in 2022.

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