Azman Air (ZQ, Kano) says it has reached an out-of-court settlement with two Veling-owned Special Purpose Vehicles (SPV) relating to the failed lease of two B777-200(ER)s, msn 27251 and 27252, back in 2016.

The Nigerian carrier was taken to court in the United Kingdom by Triple Seven MSN 27251 Limited and Triple Seven (CIS) Limited after it failed to take delivery of the two B777s. At the time, Azman Air attempted to break the contract by arguing that as it had not been authorized by the Saudi authorities to operate Hajj flights, it no longer needed the two jets.

Following a protracted legal process, the two SPVs were awarded approximately USD22 million for breach of contract and loss of earnings.

However, with the looming threat of asset seizure, Azman Air announced that it had reached an out-of-court settlement with the two SPVs on Tuesday, September 11. Though Azman Air confirmed President Abdulmunaf Yunusa Sarina and Managing Director Faisal Abdulmunaf were signatories to the agreement, it did not disclose its terms.

Veling was not immediately available for comment.