Russia is expanding its presence in the very light business jet market. Industrial Investors and Kaskol Holding have bought an American business jet builder. It means Russia's air taxi leader could be flying its own jets.

Journalists gathered to hear the news that Adam Aircraft Industries – producer of very light jets – has come under Russian ownership. The company’s stock and intellectual property rights went under the hammer for 10 million dollars after it went bankrupt. And it made for a good deal for the buyers, Kaskol Holding and Industrial Investors, as Industrial investors CEO, Sergey Generalov explains.

As a company which already has significant investments in air taxi projects, we bought the Adam Aircraft A700 because we believe such a machine can develop the air taxi business both in Russia and across the world.

Industrial Investors owns Dexter Air, the first, and so far the only, Russian air taxi operator. It also owns business airline Velvet Air. The company says the Adam A700 is the best format for an air taxi. Evgeny Andrachnikov, CEO of Avia Management Group says its also an opportunity to expand.

By acquiring a new technology, its not just a new technology, it’s a breakthrough technology, we think that we are getting access to the opportunity of, being a Russian venture, to develop and explore the general aviation market beyond the United States.

The A700 model is expected to gain certification by the end of next year – and construction will start on American soil from 2010. While supplying their own air taxi firm, the Russian owners of Adam Air have a profitable order book of 322 jets from Chinese, Indian and European taxi operators.