Stobart Group said its aircraft leasing business Propius Limited signed an agreement with a special purpose company managed by GOAL German Operating Aircraft Leasing to purchase three Embraer E195 jet aircraft for $56 million.

The jets are currently on a lease agreement with Flybe until the second half of 2018.

“The aircraft will continue to be leased to Flybe until the second half of 2018 with an estimated total lease income up to that date of $9.2 million,” said Stobart Group.

“The consideration is being funded from the proceeds of the aircraft sale and lease back transaction which was announced on 5 April 2017.”

Stobart Group said the purchase of the aircraft will allow its aviation division to immediately enhance its asset base for a relatively low capital cost.

“Over the longer term, the aircraft can also be used to support the growth of Stobart Group’s Dublin-based regional airline, Stobart Air, which currently operates a fleet of 17 ATR turbo prop aircraft, and aims to operate 20 aircraft in 2018,” said the company.

Stobart Group CEO Warwick Brady said: “Aviation is a core part of the group’s strategy to grow the overall business.

“The investment into the Embraer 195 aircraft will support the growth plans in our regional airline and aircraft leasing businesses, and adds further flexibility as we continue to grow our regional airline, develop our valuable long-term franchise with Aer Lingus, support Flybe in the Isle of Man and grow passenger numbers at London Southend Airport.”