Sky Money

Article • Sky Money

Air Lease Plans Sukuk Debt

AerCap, the world’s largest aircraft lessor, said during its latest earnings call last week that aviation’s recovery continues. It sees lease rates maintaining their upward trajectory as China’s reopening adds to demand momentum and “further exacerbates the supply/demand imbalance for...

Read More
Article • Sky Money

Virgin Australia Aims for $2 Billion IPO Valuation

American priced a $750 million senior secure private term loan with a 7.25 percent interest rate last week. That's steep, but not surprising, given proceeds partially repay debt — the $1.75 billion outstanding under American's 2013 secured term loan facility...

Read More
Article • Sky Money

Air Lease Raises $700 Million

Air Lease Corp. priced a $700 million senior unsecured issue with an interest rate of 5.85 percent last week. The medium-term notes are due in December 2027. ALC will use the proceeds for general corporate purposes, including purchasing aircraft and...

Read More
Article • Sky Money

Spirit to Raise $600 Million in Loyalty-Backed Debt

Spirit will raise $600 million in loyalty program-backed debt. The private placement is secured by the assets and intellectual property of the Miramar, Florida-based carrier’s Free Spirit and Spirit Saver$ Club programs. The three-year debt will carry an interest rate of...

Read More
Article • Sky Money

Latam Has $2.25 Billion For Bankruptcy Exit

Latam Airlines Group priced $2.25 billion in bankruptcy exit financing from a group of lenders last week. The debt includes $450 million in five-year senior secured notes and $700 million in seven-year notes both at a fixed rate of 13.375...

Read More
Article • Sky Money

SAS Gets Bankruptcy Loan

A U.S. bankruptcy court has approved $700 million in debtor-in-possession (DIP) financing for SAS. Funds will come from Apollo Global Management to carry the airline through its Chapter 11 restructuring. SAS has made progress reaching deals with its labor unions...

Read More
Article • Sky Money

Danish Government Backs SAS Cost Cuts

The Danish government has agreed to convert the aid it lent SAS during the pandemic into equity, as well as potentially investing new equity in the airline, as part of the airline's restructuring. Key to that, however, is the carrier...

Read More
Article • Sky Money

Air New Zealand Issues A$550 Million in Notes

Air New Zealand issued A$550 million ($389 million) in medium-term notes on May 26. The fixed-rate debt is split into an A$300 million 4-year tranche and an A$250 million 7-year tranche. Proceeds will be used to redeem NZ$400 million ($258...

Read More
Article • Sky Money

China Eastern Seeks to Raise up to $2.2 Billion

China Eastern Airlines plans to raise up to 15 billion yuan ($2.2 billion) through an equity issue. The carrier will issue up to 5.66 billion new shares on the Shanghai Stock Exchange to certain pre-approved investors. Proceeds will be used...

Read More
Article • Sky Money

Earnings Around the World

Turkish Airlines posted a $161 million net profit on a $512 million operating profit in the first quarter. Revenues increased 10 percent year-over-three-years to $3.1 billion during the period with cargo the highlight; freight revenues doubled to $980 million. Unit...

Read More
Article • Sky Money

Lufthansa Signs $2.2 Billion Revolver

The Lufthansa Group has signed a €2 billion ($2.2 billion) unsecured syndicated revolving credit facility. Chief Financial Officer Remco Steenbergen said the revolver, which replaces €700 million in undrawn bilateral credit lines, will help achieve the group's €6-8 billion liquidity...

Read More
Article • Sky Money

Air New Zealand to Raise $1.5 Billion

Air New Zealand is embarking on a major balance sheet improvement effort just as it's about to resume carrying international travelers. The airline has launched a NZ$2.2 billion ($1.5 billion) recapitalization program split between a NZ$1.2 billion rights offer to...

Read More