Lufthansa Issues €1.5 Billion Bond
- The Lufthansa Group issued a €1.5 billion ($1.7 billion) unsecured corporate bond last week. The two-tranche transaction is split between €600 million in 1.625 percent notes due in November 2023, and €900 million in 2.875 percent notes due in May 2027. To date in 2021, the group has raised €4.1 billion through three capital markets transactions. Lufthansa Group has €11.9 billion in liquidity at end-September.
The bond issue came days before Lufthansa repaid the final €1 billion in loans under the Silent Participation II from the German government. The group previously said it would repay the aid by year-end.
- Porter Airlines has closed three sale-and-leaseback transactions for 19 of the 30 Embraer E195-E2s it has on order. The deals include five aircraft plus options for another five with Azorra Aviation Holdings, five with Falko Regional Aircraft, and four with Elevate Capital Partners. Deliveries are scheduled for 2022 and 2023. Porter plans to use the jets to add new routes to destinations too distant to serve with its fleet of de Havilland Dash 8-400s from Halifax, Montreal, Ottawa, and Toronto Pearson.