FLY Leasing has agreed to sell another portfolio of 12 narrowbody jets, boosting its cash and lowering the average age of its fleet.

The portfolio consists of Airbus A320s and Boeing 737s with an average age of eight years, says the lessor, which had disclosed a sale of 12 similar aircraft in April.

FLY expects the latest sales to bring in cash proceeds of more than $125 million, after repayment of debt and other transaction expenses.

"These sales are at an aggregate gain to book value, build free cash, reduce leverage, manage lessee concentration and lower the average age of FLY's fleet," states chief executive Colm Barrington.

FLY will start receiving 21 new A320neos later this year and has the capacity to add over $2 billion of assets to its fleet, Barrington adds.

The aircraft sales are set for completion in the third quarter. FLY will then have 86 aircraft, with an average age of around seven years, on lease to 39 airlines.

Source: Cirium Dashboard