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Rex has officially left voluntary administration, with US firm Air T taking full control of the airline.
In a letter to creditors seen by Australian Aviation, administrator EY Australia confirmed that the deed of company arrangement (DOCA) implemented last month is now complete, and all shares in the Rex Group have been handed over to Air T.
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“We are pleased to confirm that, on 18 December 2025, all conditions precedents to the DOCA were met and the transaction has completed, effective that same date,” the administrators wrote.
“As a result, the Rex Group has now exited deed administration, the shares in Rex have been transferred to the purchaser and a new board of directors have been appointed to provide oversight and accountability for the Rex Group’s businesses going forward.
“Rex Group management is focused on minimising any disruption to the business operations of the Rex Group from completion on a go-forward basis and accordingly, continues to trade on a business-as-usual basis.
“Invoices relating to goods and/or services received by the Rex Group after completion will be paid by the Rex Group directly under its new ownership.”
Continuing Rex employees have kept their entitlements, with the exception of outstanding pre-administration superannuation claims, which are eligible employee claims in the creditors’ trust; former employees also remain eligible beneficiaries.
“The amounts owed in respect of pre-appointment superannuation amounts owed to continuing and former employees will be claimed by the Australian Taxation Office (ATO) on behalf of employees (i.e., continuing employees do not need to participate and claim for this amount),” the administrators wrote.
“The proceeds from the dividend paid from the creditors’ trust in respect of pre-appointment superannuation amounts will be remitted to the respective employee’s superannuation fund by the ATO.
“Further correspondence confirming the estimated time frame and dividend amounts will be issued to eligible employee beneficiaries of the creditors’ trust (i.e., former employees and the ATO) in the new year.”
The end of the DOCA finally brings to a close a long-running saga in Australian aviation, which began with the collapse of Rex’s domestic jet operations last July. In a statement, Rex CEO Neville Howell said the closing of the deal “marks not just the resolution of a challenging chapter, but the beginning of a revitalised one”.
“It is the outcome of disciplined planning, principled decision making and an unwavering commitment to the regional communities we exist for. With renewed strength and clarity, we move forward, not defined by the turbulence behind us, but by the possibilities ahead.
“As we move forward, we will remain true to our core. We are an airline with a responsibility to connect Australians, and we will approach this next chapter with the same pragmatism, care and resolve that guided us through the challenges behind us.
“This partnership does not redefine Rex. It strengthens our capacity to honour the purpose that has always defined us; to serve the regions that built us, with our heart firmly in the country.”
Air T CEO Nick Swenson has also pledged to “continue the important work of strengthening regional aviation in Australia”.
“Rex serves communities that depend on reliable air service, and we are committed to ensuring the airline operates on a sustainable basis for the long term,” he said.
“This acquisition aligns with our strategy of investing in essential aviation businesses with strong fundamentals, great management teams and meaningful roles in their markets.”
Regional airports owed money by Rex will receive financial support from the federal government, which, as Rex’s largest creditor, had pushed for the deal.
Transport Minister Catherine King has also moved to safeguard Rex’s fleet and regional routes, with a restructuring of its debts and an extra loan being made contingent on Air T keeping the airline running. The government will also ensure Rex’s planes cannot be sold without its permission.
Air T said it will invest $50 million into recapitalising the business, including increasing the number of Saab 340Bs in service from around 30 to 44.
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says:I wish them well, not a task that I envy or would even entertain but at least the end user has some hope for their future. It will be a tough couple of years for REX.