The Carlyle Group has agreed to purchase mid-life leasing platform Apollo Aviation, with the transaction to be completed early next year.
When the deal closes, before 31 January, Apollo Aviation will be renamed Carlyle Aviation Partners, a deal announcement says.
Apollo Aviation co-founders Bill Hoffman and Robert Korn will lead Carlyle Aviation, which will operate within Carlyle’s global credit segment. Korn and Hoffman completed a management buyout of the company late last year.
“As part of The Carlyle Group, we will continue to access a broad range of aviation investment opportunities, and grow our position in the aircraft leasing and finance sector,” says Apollo Aviation president Robert Korn.
As of 30 September the lessor had $5.6 billion of assets under management, including 243 aircraft either owned, managed or committed to purchase.
"Over the next 20 years, the world’s commercial aircraft fleet is expected to double in size to approximately 40,000 aircraft and new aircraft deliveries alone will be valued at more than $6 trillion. For institutional investors worldwide, this is an attractive asset class that will be a growing part of any diversified portfolio,” adds Korn.
“Apollo Aviation’s expertise in managing and investing in aviation assets and use of long-term structures allows it to invest well through economic cycles," says Mark Jenkins, head of Carlyle’s global credit segment.
Apollo Aviation, which was founded in 2002, was advised by Milbank, Tweed, Hadley & McCloy and Goldman Sachs.
Source: Cirium Dashboard