BOC Aviation prices third notes issue at 2%

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BOC Aviation priced its S$75 million ($60 million) senior unsecured notes due 2015 at 2%.

Proceeds from the financing the will be used to fund new capital expenditure, general corporate purposes and refinancing needs, says the lessor.

The transaction, arranged by United Overseas Bank, was issued off BOC Aviation's $2 billion euro medium term note programme established in September 2012.

The notes are payable semi-annually and will will be rated "BBB-" by Standard & Poor's.

"This was our third note issue under our EMTN programme since it was established in 2012, indicating continued demand for BOC Aviation notes," says BOC Aviation's managing director and chief executive officer Robert Martin.

The operating lessor raised $50 million in the private placement market in February with notes priced at 4.3% per annum. Last September it issued $500 million five-year unsecured notes at 2.87%.

The new two-year notes will close on 26 March 2013, subject to closing conditions.