Global Jet Capital, a provider of financial solutions for business aircraft, closed its BJETS 2022-1 securitization, raising approximately $609 million. BJETS 2022-1 is Global Jet Capital’s sixth asset-backed security offering, bringing the company’s total assets securitized to approximately $4.4 billion and bonds issued to approximately $3.6 billion.
The BJETS 2022-1 offering contained three tranches of notes: a $512.8 million Class A tranche, a $60.3 million Class B tranche and a $35.8 million Class C tranche. S&P Global Ratings and Kroll Bond Rating Agency assigned BJETS 2022-1 ratings of A/A-, BBB/BBB and BB/BB on the Class A, B and C tranches, respectively. The transaction attracted 27 investors, eight of which were new to BJETS.
As with previous BJETS transactions, this deal consists of a collection of business aircraft loans and leases representing multiple obligors and assets. BJETS 2022-1 comprises more than 37 corporations and global business leaders representing more than 23 different industry segments, with the largest segment making up around 12%. More than 25 different aircraft models — primarily mid- to large-cabin business aircraft — are represented in the transaction.
Deutsche Bank Securities was the lead structuring agent and lead bookrunner and Citigroup, Morgan Stanley, BofA Securities, TCG Capital Markets and KKR Capital Markets were joint structuring agents and joint bookrunners for the BJETS 2022-1 transaction. In addition, Citizens Capital Markets was a co-manager. Global Jet Capital will continue to service the securitized assets.
“We completed yet another successful issuance despite turbulent market conditions,” Vivek Kaushal, CEO of Global Jet Capital, said. “This demonstrates the maturity of the BJETS securitization program and the strong performance of the company’s previous ABS transactions, which have shown remarkable resilience, largely attributable to the strong performance of Global Jet Capital’s highly diversified portfolio and relative strength in the business aviation sector.”
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