Avianca-Taca finds $263m in PDP financing in the capital markets

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New York-based Aviation Finance and Natixis have completed the first pre-delivery payment financing in the capital markets.

The multi-tranche $263 million deal supports eight Airbus A330-200 aircraft with the Synergy Group, the majority owner of Latin American airline group Avianca-Taca.

Global Hunter Securities acted as placement agent for the junior tranche debt.

Borrowers increasingly have been turning to the capital markets for funding due to solid investor appetite for aviation financings and more costly export credit agency fees.

Capital markets should account for at least 12% of the financing required for new aircraft this year, according to Flightglobal's Ascend.