Cargojet Inc. has announced a renewed and expanded long-term strategic agreement with DHL Network Operations, reinforcing their nearly two-decade partnership and extending their collaboration until March 31, 2033, with options to renew through March 2037.
This extension marks a significant milestone in the companies’ collaboration, which began in 2005 and has since evolved into a comprehensive logistics alliance. Under the renewed agreement, Cargojet will continue to provide its full suite of air cargo transportation services to support DHL’s global logistics operations, including:
- ACMI (Aircraft, Crew, Maintenance and Insurance)
- CMI (Crew, Maintenance, and Insurance)
- Charter flights
- Dry lease aircraft services
Fleet and Operational Scope
Cargojet’s Boeing 767 and 757 freighters currently operate key routes for DHL, covering destinations across Canada, Mexico, and Latin America. With this renewed agreement:
- DHL will maintain a guaranteed minimum number of block hours per month.
- Cargojet will be given a preferred opportunity to operate additional routes as DHL adjusts or expands global capacity.
Ajay Virmani, Executive Chairman of Cargojet, said:
“Securing the confidence of DHL Group underscores Cargojet’s strength as a long-term partner. Our team’s dedication to reliability and operational excellence continues to set us apart as a core enabler of DHL’s global logistics strategy.”
Travis Cobb, EVP of Global Operations and Aviation at DHL Express, added:
“Cargojet provides the high quality, flexibility, and capacity we need to operate crucial trade routes. We’re pleased to extend our partnership and look forward to growing together where strategic opportunities arise.”
New Equity Agreement to Align Long-Term Interests
As part of this strategic renewal, Cargojet will:
- Terminate existing warrants granted to DHL in March 2022 for 1,645,000 voting shares.
- Issue new warrants to acquire up to 1 million voting shares (approx. 6.63% of Cargojet’s outstanding shares, non-diluted), exercisable at C$93.61 per share.
- These warrants will vest over eight years, contingent on DHL delivering up to C$3.2 billion in business volume over the same period.
This new structure is designed to align the companies’ long-term strategic and financial interests as they scale global operations together.
A Deepening Global Air Cargo Alliance
This expanded agreement reflects the deep integration of Cargojet into DHL’s global express network, as both companies adapt to rising demand in cross-border e-commerce, time-sensitive deliveries, and resilient supply chain solutions.
Cargojet’s continued focus on operational flexibility, route expansion, and dependable service delivery ensures its position as a critical logistics partner within DHL’s high-performance global network.