Aircraft leasing company Avolon extended the TLB-3 tranche of its senior secured $2.92 billion term loan B facility from January 2025 to June 2028 through a new TLB-6 tranche. The company also upsized the tranche by $250 million, bringing the total size of the tranche to $1.68 billion.

The TLB-6 tranche is priced at SOFR plus 2.5% with a SOFR floor of 0.5%, subject to an original issue discount of 99.

“We are very pleased to have successfully upsized our term loan facility and to have extended its maturity to 2028,” Ross O’Connor, CFO of Avolon, said. “The upsizing of the transaction reflects strong demand from both existing and new investors, reflective of the quality of our portfolio and the strength of our business. Together with our recent $750 million unsecured notes issuance, we have raised over $2.4 billion of capital in the second quarter to date, which will support our growth against a backdrop of increasing demand for aircraft from airlines.”