Earlier this month, Icon Aircraft, builder of the A5 amphibious LSA, was sold to SG Investment America for a reported $US15.8 million, a fraction of the $US100-500 million it was thought to be worth.
SG Investment was selected as the "stalking horse" bidder after Icon filed for Chapter 11 bankruptcy protection in April this year, and beat out a German company who also made an offer.
The deal, approved in a bankruptcy court hearing, will enable Icon to continue building aircraft, but no promises have been made about the long-term future of the company.
“It has been an incredible honor to lead Icon Aircraft and work with the brightest and most passionate group of people I’ve ever had the pleasure of knowing," said outgoing CEO Jerry Meyer.
"I want to extend my deepest appreciation to every team member for their dedication and hard work. I wish them and the company nothing but success in this exciting new chapter.”
Jason Huang, who has been president since 2020, has been tasked with leading Icon through the transition to new ownership.
"I am thrilled to be guiding Icon Aircraft into its next phase of growth and development," Huang said. "Our focus will be on ensuring a smooth transition and capitalizing on new opportunities that will drive the company forward.
"The future holds great promise for Icon, and I am excited to see what we can achieve together.”
Kirk Hawkins and Steen Strand founded Icon in 2006 in response to the new LSA rules. The first prototype A5 flew two years later, with the first production aircraft rolled-out in 2014.
At its peak, Icon was thought to have orders for 1400 A5s. However, Icon has been plagued with issues and problems almost from the outside including blow-outs in manufacturing costs, accidents and a controversial sale agreement.
Perhaps the issue that plagued Icon the most was a majority shareholding by Chinese company Pudong Science and Technology Investment, which has been accused of running roughshod over minority shareholders and attempting to send intellectual property back to China.