15 Oct 2018

China Aviation Industry Newsletter 16 October

BOC Aviation Signs US$750 Million Syndicated Loan BOC Aviation announced 11 October that it has signed a US$750 million unsecured syndicated loan facility with a tenor of five years. Following a strong response from lenders after its launch into general syndication, the Facility was increased to a final size of US$750 million from an initial launch amount of US$500 million. The Facility is BOC Aviation’s largest single tranche unsecured term loan financing transaction. The borrower under the Facility is BOC Aviation (Ireland) Limited and the Facility is guaranteed by BOC Aviation. CALC Sets Up A New Chinese MRO JV China Aircraft Leasing Group (CALC), together with its mid- to- end-of-life aircraft solutions arm, Aircraft Recycling International (ARI), and FL Technics have agreed to establish FL ARI Aircraft Maintenance & Engineering Company, a joint venture based in Harbin, China, which will provide MRO services for aircraft in Asia and Europe. CDB Aviation Closes $700 Million Secured Portfolio Financing CDB Aviation announced 8 October that the company successfully closed a secured portfolio financing facility for $700 million, covering a fleet of 19 Airbus and Boeing aircraft. CDB Aviation Chief Financial Officer Will Gramolt said “Diversifying financing sources at a competitive cost of capital is a key objective for CDB Aviation, and we appreciate the strong support from our banking partners in concluding this transaction”. Comac, HNA Pitch ARJ21 for African Market Commercial Aircraft Corp. of China (Comac) has formulated several initiatives to place new ARJ21s in Africa following the signing of a memorandum of understanding with Hainan Airlines (HNA) that calls for delivery of the regional jets with African partners such as Accra-based Africa World Air. HNA Chairman Chen Feng said “The aviation sector in Africa has a huge market potential”. Hainan Airlines expands its fleet with Airbus A350 Hanian Airlines has completion of the maiden commercial voyage of the first Airbus A350 aircraft owned by Hainan Airlines Holding Co., Ltd. Hainan Airlines' young luxury fleet now counts over 400 aircraft, mainly consisting of Boeing 737s, 787s and Airbus 330s. In 2018, the airline added four new A350-900 aircraft, which will serve Hainan Airlines' international and domestic routes. Acumen Aviation © 16 October 2018 All Rights Reserved.