Apollo Aviation has priced its $510 million 2016-1 asset backed securitisation (ABS) notes for 32 aircraft.
The $395 million A notes priced at 5.375%, the $80 million B notes at 7.25% and the $35 million C notes at 9.375%, a source familiar with the transaction says.
The A and B notes are based on a straight-line 10-year amortisation schedule for the first two years and a 13-year schedule thereafter, while the C notes will be calculated on a straight-line five-year amortisation schedule for the first two years and a seven-year schedule thereafter.
The loan-to-value ratio is 62.5% on the A notes, 75.1% on the B notes and 80.7% on the C notes.
The debt is secured by 32 aircraft split 70% narrowbodies and 30% widebodies, including one Boeing 777-200ER with General Electric GE-90 engines. The weighted average age of the fleet is 14.8 years with the remaining average lease term 3.5 years.
The aircraft are leased to 20 carriers, including American Airlines, EasyJet and Iberia, in 19 countries.
The initial appraised value of the collateral pool is $632 million.
Goldman Sachs, Wells Fargo and Deutsche Bank are joint lead arrangers of the 2016-1 notes.
Source: Cirium Dashboard
