08:32 AM EDT, 05/28/2024 (MT Newswires) -- FTAI Aviation ( FTAI ) said Tuesday it has terminated its management and advisory agreement and a services and profit sharing agreement will operate as an internally managed company.

In connection with the terminations, FTAI has agreed to pay an affiliate of Fortress Investment Group $150 million in cash along with other expense payments and issue about 1.9 million ordinary shares of the company.

FTAI said it expects the internalization to result in about $30 million of initial annualized cost savings, rising "significantly" every year.

FTAI shares were nearly 4% higher in recent premarket trading.

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