Finance
Hong Kong Aviation Capital closes new $725 million 5 year warehouse facility
Hong Kong Aviation Capital (HKAC) announces the completion of a new $725 million secured limited-recourse warehouse facility. The facility provides HKAC significant flexibility with 100% blind capacity to finance its future aircraft deliveries or refinance existing aircraft. The facility was oversubscribed and is priced competitively at a margin of 2.00%.
The facility was structured by Credit Suisse and was widely syndicated to banks based in the Americas, Europe, the Middle East and Asia, including Crédit Agricole Corporate and Investment Bank, RBC Capital Markets, EverBank, FGB, Natixis and Nomura. Credit Suisse, Crédit Agricole Corporate and Investment Bank and RBC Capital Markets served as Joint Lead Arrangers.
Donal Boylan, CEO of HKAC commented: “We are very pleased to have closed this milestone transaction forHKAC. The facility strengthens HKAC’s competitive positioning by providing flexibility to efficiently execute on new and existing campaigns with its blind capacity.”
Rick Macker, Head of Capital Markets for HKAC said: “We appreciate the strong support from our partner banks, and are delighted to establish a relationship with six new lenders through this facility. The warehouse closing is an important step in HKAC’s continuous efforts to expand and diversify its sources of financing, while maintaining a competitive cost of funds and increasing business flexibility.”