Category: Financial

GA Telesis has closed a large inventory lease comprised of rotable spare parts for LATAM Airlines in support of its 777-300ER operations that was tailored to provide maximum operational flexibility for the airline. Commencing its first inventory financing in 2008, GA Telesis has emerged as a world-leader in inventory financing of leased assets with over 30 major airline operators on six continents. Inventory leasing has grown in relevance with airlines as new technology aircraft are delivered by the airframe manufacturers. This proprietary leasing program provides operators, MROs, and other aviation asset investors increased flexibility in managing their capital investment and Read more

American Airlines and Los Angeles World Airports (LAWA) officially broke ground on a US$1.6 billion modernization project to fully reimagine Los Angeles International Airport (LAX) Terminals 4 and 5. The project marks American’s largest individual investment at an airport in its 92-year history and reaffirms the airline’s commitment to Los Angeles. In June 2017, American signed a letter of intent with LAWA, which set the framework for the carrier’s record investment. Now, less than 18 months later, construction is officially underway. The project will fully modernize and update the infrastructure of LAX’s two busiest domestic terminals. When completed, the new Read more

Seabury Capital Group announced its role as sole investment banking advisor on the successful acquisition of a leased portfolio of 21 aircraft by Zephyrus Aviation Capital (Zephyrus). Zephyrus is a fleet management solutions provider to lessors and commercial airlines focused on mid- to end-of-life aircraft and related engine leasing and trading. Seabury Capital leveraged its extensive industry relationships to identify the opportunity and then arranged for Zephyrus’ best-in-class management team and equity sponsor to acquire the inaugural aircraft portfolio from Dublin-based Avolon. Zephyrus is capitalized by Virgo Investment Group (Virgo) as majority equity sponsor, with Seabury Capital retaining a minority Read more

United Airlines released its third-quarter 2018 financial results, reporting third-quarter net income of US$836 million, pre-tax earnings of US$1.1 billion and pre-tax margin of 9.6%. Consolidated passenger revenue per available seat mile (PRASM) increased 6.1% year-over-year, above the high end of the company’s third-quarter 2018 guidance range of up 4% to 6%. Consolidated unit cost per available seat mile (CASM) increased 6.4% year-over-year. Consolidated CASM, excluding special charges, third-party business expenses, fuel and profit sharing, decreased 0.4 percent year-over-year. UAL’s mid-continent hubs in Chicago, Denver and Houston had year-over-year capacity growth of 9.7% in the third quarter and led the Read more

Harris Corporation and L3 Technologies have agreed to combine in an all stock merger of equals to create a global defense technology leader, focused on developing differentiated and mission critical solutions for customers around the world. Under the terms of the merger agreement, which was unanimously approved by the boards of directors of both companies, L3 shareholders will receive a fixed exchange ratio of 1.30 shares of Harris common stock for each share of L3 common stock, consistent with the 60-trading day average exchange ratio of the two companies. Upon completion of the merger, Harris shareholders will own approximately 54% Read more

Comparing itself to the French government which holds a 14.3% stake in Air France, the Italian Deputy Prime Minister, Luigi Di Maio has indicated the Italian government may take as much as a 15% stake in a relaunched Alitalia. The flag-carrying airline was put under special administration and ceased operations last year after it’s major shareholder, Etihad Airlines, withdrew the offer of a €2 billion (US$2.32 billion) financing package subsequent to unions rejecting an aggressive restructuring proposal which included the loss of approximately 2,000 jobs. According to details given by Di Maio in an interview with Italy’s daily financial newspaper Read more

FLYHT Aerospace Solutions has acquired the asset of Panasonic Weather Solutions (PWS), based in Littleton, Colorado, from Panasonic Avionic Corporation (PAC). Currently serving more than a dozen airlines in North America, Europe and Southeast Asia, PWS provides Iridium satellite communications systems, aircraft tracking and alerting, the FlightLink™ Iridium Satellite Data Unit, and Tropospheric Airborne Meteorological Data Reporting (TAMDAR™) sensors. The assets FLYHT is acquiring include among other things, 27 employees; 10 service contract with airlines in North America, Europe and Southeast Asia, including a major Asian carrier; an Iridium Value Added Reseller (VAR) license, and a Federal Aviation Administration Parts Read more

BOC Aviation has signed a US$750 million unsecured syndicated loan facility with a tenor of five years. Following a strong response from lenders after its launch into general syndication, the Facility was increased to a final size of US$750 million from an initial launch amount of US$500 million. The Facility is BOC Aviation’s largest single tranche unsecured term loan financing transaction. The borrower under the Facility is BOC Aviation (Ireland) Limited and the Facility is guaranteed by BOC Aviation. Agricultural Bank of China Limited, Singapore Branch, BNP Paribas, Citigroup Global Markets Singapore Pte. Ltd. DBS Bank Ltd., Development Bank of Read more