Air cargo is at the heart of a consolidation operation: Allegiant announced the acquisition of Sun Country in a transaction involving a mix of cash and stock, valued at around .5 billion (including debt). But the angle that catches the logistics attention is elsewhere: Sun Country is a key operator in the Amazon Air ecosystem, and the deal has triggered a revealing sequence of the e-commerce giant’s strategy.
According to executives, Amazon was involved in the talks early on. And, most importantly, in a sign of confidence (or need), Amazon is said to have confirmed the addition of two more freighters to be operated by Sun Country, bringing its dedicated Amazon cargo fleet to a higher level. Sun Country already operates converted 737-800s, and this “outsourced lift” model allows Amazon to expand its capacity without internalizing everything, while maintaining service standards.
For Allegiant, the interest is structural: the combination creates a more flexible group, capable of smoothing out the seasonality of the passenger thanks to recurring activities (cargo, charters, contracts). The leaders insist on operational synergies: same type of aircraft, pooling of crews, better use of bases and resources.
The market reading is clear: in a context where capacity and reliability have become weapons of competitiveness, Amazon continues to lock in its options. And the operation illustrates a broader trend: logistics, and particularly cargo, is no longer a “side” activity for some companies—it is a pillar of stability and a driver of valuation.
