Avolon agrees $800m finance deal
Aircraft lessor Avolon has executed a $810m financing facility deal with 10 banks, set to mature in 2030, according to its first quarter (Q1) 2023 trading update.
This follows the $2.2bn of new financing the company raised in 2022, as well as an increased total revolving debt capacity of more than $6bn.
The company said that the reopening of China has bolstered its levels of leasing and trading activity in Q1. Within the quarter, Avolon executed 31 lease transactions, including new aircraft leases, follow-on leases and lease extensions.
The firm also sold two aircraft and agreed letters of intent (LoI) for the sale of 13 more, while delivering nine new aircraft in the first three months of the year.
In the update, Avolon said it is on track to achieve its target of 75% fuel-efficient aircraft by 2025.
“Our ambition is to continue to be a leader in our sector on ESG issues,” said Andy Cronin, CEO, Avolon. “We made further progress towards our key 2025 target for 75% of our fleet to be new technology fuel-efficient. We have also supported research into ways to scale up production levels of sustainable aviation fuel and received an industry leading rating for our ESG performance.”
Avolon Q1 update – at a glance
- 31 lease transactions executed
- Nine new aircraft delivered
- Two aircraft sold
- LoI’s for sale of 13 aircraft
- 578 aircraft managed and owned at Q1 end
- 252 orders and commitments for fuel-efficient aircraft at Q1 end
