Phoenix Aviation Capital and AIP Capital Finalize $300 Million Credit Facility for Aircraft Financing

Phoenix Aviation Capital and AIP Capital Finalize Major Credit Facility

Phoenix Aviation Capital, a leading aircraft leasing company, has announced the successful closing of a $300 million senior secured credit facility managed by AIP Capital. This milestone is significant for the company, aiming to enhance its financial capabilities and support future growth strategies in the competitive aviation sector.

Expanding Financial Horizons

The recently completed facility was structured with the help of several financial institutions, including the Royal Bank of Canada, which acted as the structured agent. Citibank and Morgan Stanley participated as joint lead arrangers in this substantial deal. The funding will primarily be used to refinance seven operational aircraft currently held by Phoenix, in addition to providing necessary capital for future asset acquisitions.

Jared Ailstock, the Managing Partner at AIP, expressed optimism regarding this development, stating, "This facility represents another key milestone in Phoenix's expansion of its lender group and availability of debt capital." He emphasized the firm’s gratitude for the unwavering support from the banking coalition as they work on executing their ambitious growth strategy.

Strengthening Relationships with Lenders

Phoenix and AIP have successfully fostered relationships with both new and existing lenders. Patrick Schafer, the Managing Director at BC Partners and a board member of Phoenix, noted, "Closing this facility through a combination of new lenders and existing banks demonstrates the support Phoenix and AIP have in the aviation bank market." This strategic financing will not only increase flexibility but also reinforce the firm's capacity to serve its airline clientele more effectively.

Diverse Expertise

Led by a team boasting more than 30 seasoned professionals, AIP Capital manages around $4 billion in diversified assets. With offices in major financial hubs like Stamford, New York City, Dublin, and Singapore, AIP has carved a niche for itself in the realm of asset-based finance.

With a focus on aviation and equipment finance, the firm is well-positioned to leverage its industry expertise to discover and act on attractive credit opportunities across various market environments.

Future Outlook

As the aviation industry continues to evolve, securing a solid financial backing like this $300 million facility is crucial for Phoenix Aviation Capital to enhance its operations. The funding is expected to provide the necessary liquidity to acquire state-of-the-art aircraft and improve the overall quality of services offered to airline partners.

Ultimately, the collaboration with AIP Capital and a robust network of financial institutions enables Phoenix to pursue a robust strategy that prioritizes growth while navigating the complexities of aviation financing.

In conclusion, this credit facility serves not just as a financial boost, but as a testament to the firm’s progressive vision and commitment to shaping the future of aircraft leasing. With strategic planning and strong lender relationships, Phoenix Aviation Capital is poised for continued success in the competitive aviation market.