Operating lessor Avation has agreed a warehouse facility with a European bank to support its aircraft acquisition portfolio.
The Singapore-based lessor says the senior full recourse revolving credit line provides partial short-term funding for ATR -500/600 models, Embraer 190/195s, Airbus A330s, Boeing 777s, Airbus A320-family aircraft including Neo models, and 737 Next-Generation and Max series aircraft.
The three-year facility is secured by the aircraft purchased. Drawings have a two-year repayment term, says Avation.
“The warehouse facility is a pre-approved finance line, thus enabling the purchase of a target aircraft within a short timeframe. Once acquired, the aircraft can then be refinanced in the more traditional manner. This process will assist Avation to quickly secure the aircraft on a case-by-case basis in order to produce optimal long-term returns to its shareholders,” says Avation’s executive chairman Jeff Chatfield.