Avolon completes 54 deals in second quarter

Aircraft lessor owned or managed 591 aircraft at the end June

Aircraft lessor Avolon completed a total of 54 deals in the three months ended June 30th, the Dublin-based company said on Thursday.

Avolon said it completed 54 leases during the second quarter of the year, including new, follow-on and extended agreements.

It also signed letters of intent to place 31 aircraft from its order book with airlines and for the sale and lease back of 13 further aircraft.

At the end of June Avolon owned or managed 591 aircraft while it had 146 airline customers in 62 countries.

The Irish company had total orders for 260 new aircraft.

Avolon also extended the repayment date for a revolving credit facility to 2027 from 2024. The total facility involved is $745 million (€732 million).

During the quarter, international agency Fitch confirmed Avolon’s credit rating as BBB- with a stable outlook.

Meanwhile, Dublin-based cargo specialist ASL Aviation Holdings confirmed on Thursday that Goldman Sachs has agreed to boost financing for the group to $200 million from $125 million.

Goldman agreed to provide up to $125 million in debt that ASL could draw on as needed in April last year.

ASL said on Thursday that the pair have agreed to increase this to $200 million. Mark O’Kelly, the airline group’s chief financial officer, noted that the deal would underpin capital spending and growth plans.

“As before the facility will be used to partially finance our fleet renewal programme, with aircraft being placed primarily with our European airlines, ASL Airlines Ireland, ASL Airlines Belgium and ASL Airlines France,” he added.

The company is buying 20 Boeing 737-800s converted to carry freight, all of which will have entered service by early 2023.

ASL flies cargo services for the world’s leading parcel delivery companies and online retailers.

Barry O'Halloran

Barry O'Halloran

Barry O’Halloran covers energy, construction, insolvency, and gaming and betting, among other areas