SMBC Aviation Capital closed a $600 million syndicated financing transaction comprising a $200 million term loan and a $400 million revolving credit facility with a consortium of primarily Asian banks. The transaction generated strong interest from the banking market resulting in a high level of over subscription reflecting SMBC Aviation Capital’s status as one of the industry’s highest rated, investment grade aircraft lessors.
Citi acted as the global coordinator while eight banks including Citi, Australia and New Zealand Banking Group, Apple Bank, Bank of China, Cathay United Bank, Maybank, Oversea-Chinese Banking and Westpac acted as mandated lead arrangers and bookrunners on the five-year facilities.
The general syndication was launched to a limited set of investors is ongoing. The proceeds from the transaction will be used for general corporate purposes.
“The level of interest in this transaction further demonstrates the market’s confidence in our business and our commitment to diversifying our funding sources. We are delighted to broaden our relationships with some of the leading banks in both the Asia Pacific region and in aviation generally. Together with our corporate bond programme and ongoing shareholder support, this will underpin the delivery of our future growth”.
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