VEB-Leasing mandates Aeroflot 777 financing

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Vnesheconombank subsidiary VEB-Leasing has secured funding for another batch of new Boeing 777-300ER deliveries for Aeroflot with a syndicate of banks.

The Russian leasing entity mandated Apple Bank, Crédit Agricole-CIB and Goldman Sachs to provide US Export-Import (Ex-Im) Bank support for six 777-300ERs equipped with GE90-115BL engines.

VEB Leasing will be a lender in the transaction along with Apple Bank for Savings while Crédit Agricole-CIB and Goldman Sachs are co-arrangers of the deal.

Vnesheconombank, the State Corporation Bank for Development and Foreign Economic Affairs, is the guarantor of the transaction.

The aircraft were acquired from Aeroflot under a purchase and leaseback deal. The lease terms are 12 years, says VEB-Leasing.

The Russian leasing entity issued a request for proposals for US Export-Import Bank-backed financing for six Boeing 777 aircraft on lease to Aeroflot last summer.

The first aircraft (MSN 41687) closed on 29 January. The other five deliveries are scheduled through May 2014.

The transaction follows the $500 million Ex-Im Bank guaranteed financing with the same banks last year on a first batch of 777-300ERs on lease to Aeroflot Russian Airlines.