Chennai-based air freight company Afcom Holdings has signed a letter of intent (LOI) with Boeing for the acquisition of up to four Boeing 777-8F freighter aircraft, as it looks to expand its cargo operations and build long-haul freight capacity.
An LOI is a preliminary agreement between an airline and an aircraft manufacturer to negotiate a future firm aircraft order. The proposal, disclosed to the BSE is subject to the finalisation of definitive documents between the two parties. Afcom said it will make further disclosures, including on the execution of a definitive purchase agreement, if there is any material development.
If finalised, the deal would mark the first order for the Boeing 777-8F by an Indian carrier, according to the company.
The proposed acquisition would also mark Afcom’s entry into wide-body freighter operations. The airline currently operates narrow-body Boeing 737-800 freighters and has been expanding its cargo network. It recently started a three-times-a-week freighter service between Navi Mumbai and Dubai World Central.
The move is in line with Afcom’s previously stated plan to induct four Boeing 777 wide-body aircraft as part of its longer-term fleet expansion. The company had outlined plans to deploy capital raised through equity issues and a qualified institutional placement (QIP) towards the aircraft acquisition and related costs, including lease deposits, insurance, customs duty, equipment and crew training.
The proposed fleet expansion comes as Afcom scales up its air freight business. The company reported strong growth in FY26, with revenue from operations rising to ₹583.1 crore, from ₹238.7 crore in FY25. Net profit increased to ₹121.9 crore from ₹36.9 crore during the same period.