UK budget carrier EasyJet has agreed several sale-and-leaseback arrangements, covering nine aircraft and generating nearly $400 million to enhance its liquidity.

The airline has sealed a transaction involving five Airbus A320s with Irish-based Wilmington Trust SP Services.

EasyJet says this agreement, centred on leases averaging 117 months, will generate proceeds of $191 million.

The lease obligations amount to £123.7 million ($161 million).

Four more A320s are the subject of a second transaction with Sky High 112 Leasing Company which, says the airline, will generate cash proceeds of $207.5 million.

The average term of these leases is 116 months, says EasyJet, with obligations of £108 million.

EasyJet Airbus

Source: EasyJet

EasyJet says the combined assets had an overall net book value of £256 million.

It states that the sales were undertaken following “high levels of demand” from the operating lease market, adding that the proceeds of $398.6 million will “further strengthen” its financial position.

EasyJet will still have 152 fully-owned and unencumbered aircraft – some 44% of its fleet – following completion of the sales, and says it will “continue to assess further funding options” including those in the leaseback sector.