Doric Nimrod Air Finance Alpha (DNA Alpha) has returned to the capital markets with a $630 million pass through certificates offering that is similarly priced to its first issuance about a year ago.
Under the new issue, $462 million of Class A notes will carry a final maturity of 9.9 years and an average life of 5.7 years, while the $168 million Class B notes are expected to mature in 6.4 years with an average life of 3.8 years.
The Class A certificates priced at 5.25% and the Class B certificates priced at 6.125%.
Citigroup, Goldman Sachs Group and Morgan Stanley are the bookrunners on $630 million on the transaction. Crédit Agricole, acting via its New York Branch, will provide separate committed liquidity facilities sized to meet the next four semi-annual interest payments.
The proceeds will be used to finance the acquisition of four Airbus A380s placed under 10-year operating lease with Emirates Airline.
The balance of the aircraft purchase price not funded by the notes will be funded by equity from soon to be listed DNA Alpha's publicly listed parent, DNA III.
DNA III, which will be publicly listed on the London Stock Exchange and the Channel Island Stock Exchange, says Moody's. Doric will capitalize DNA Alpha "on or about 2 July 2013" with the net proceeds of its recent primary offering of shares.
Last year DNA Alpha tapped the EETC market last year in a $587.5 million transaction. The $434 million Class A certificates carry an annual interest rate of 5.125% and have a final expected distribution date of 30 November 2022. The $154 million Class B certificates have an annual interest rate of 6.5% and have a final expected distribution date of 30 May 2019.