UNITED STATES OF AMERICA —Mammoth Energy Services, through its subsidiaries Cobra Aviation and Leopard Aviation, has finalized a 58 million USD senior secured term loan agreement with Bank7. The credit facility is structured into a 25 million USD tranche and a 33 million USD tranche, featuring floating interest rates and a maturity date in October 2030. Monthly amortization is scheduled to commence in January 2027, with the parent company providing a comprehensive guarantee for the obligations.
This financing arrangement represents a strategic evolution in the capital management of the company’s aviation division. Historically, the firm’s 134.9 million USD aviation asset portfolio was maintained entirely debt-free. By introducing asset-backed leverage, the organization can optimize its balance sheet, finance subsequent fleet acquisitions, and maintain operational liquidity without resorting to equity dilution.
The transaction underscores a broader industry reliance on specialized asset-backed lending to manage the substantial capital expenditures inherent in aircraft procurement. As demand for specialized aviation support in energy, construction, and utility sectors grows, regional financial institutions are increasingly pivotal in providing the structured debt necessary to facilitate fleet modernization and operational scalability for mid-market service providers.
From an investment perspective, this committed capital line signals institutional confidence in the residual value and yield potential of the underlying aviation assets. It provides the firm with financial agility to execute future acquisitions rapidly as market opportunities arise. Furthermore, the parent company’s guarantee reflects a consolidated corporate strategy to systematically scale this high-growth vertical.
Mammoth Energy Services is a diversified infrastructure and energy services enterprise headquartered in Oklahoma City, with operational segments spanning aviation leasing, heavy equipment rental, and directional drilling. Bank7 is a commercial financial institution specializing in asset-based lending and tailored financing solutions for middle-market businesses.
