Avolon doubles aircraft fleet on $10bn CIT deal
Aviation financier signs memo of understanding for 75 new Boeing craft
Avolon chief executive Domhnal Slattery: Aircraft lessor Avolon’s fleet more than doubled to 921 in the second quarter of the year
Aircraft lessor Avolon’s fleet more than doubled to 921 in the second quarter of the year on the back of its $10 billion (€8.5 billion) takeover of CIT.
Avolon bought CIT’s aircraft-leasing arm for $10 billion in April, transforming it into the world’s third-largest aviation financier.
The Irish-based Chinese-owned company’s second quarter update confirms that the deal doubled the number of craft that it owns, manages or has committed to buying to 921 from 443 during the same period in 2016.
The number of craft that Avolon owned and managed rose to 574 from 227, while the airline customers grew to 151 from 85.
During the three months to the end of June, Avolon signed a memo of understanding with aircraft manufacturer Boeing for 75 of the US multinational’s 737 Max 8 planes.
They were valued at $8.4 billion at current list prices. The deal includes an option for a further 50 of the craft.
Avolon also delivered the first Boeing 737 Max 8 to go into commercial service to Malaysia’s Malindo Air.