Phoenix Aviation Capital and AIP Capital Secure Major $240 Million Loan Agreement

Phoenix Aviation Capital and AIP Capital's Strategic Loan

In a significant move in the aviation finance sector, Phoenix Aviation Capital has announced the successful closing of a $240 million term loan facility in partnership with AIP Capital. This loan aims to support the purchase of six next-generation aircraft currently on lease, poised to enhance their operational capacity across various airlines worldwide.

The Deal Overview

The facility, which was finalized on December 9, 2024, comes from a collaboration with major lenders, including Citi, Société Générale, and HSBC, who collectively provided the financial backing necessary for this transaction. Citi and Société Générale not only acted as Joint Structuring Agents but also served as Joint Bookrunners and Joint Mandated Lead Arrangers for the facility.

Citi is set to take a leading role by serving as the Administrative Agent and Security Trustee within this agreement.

Mathew Adamo, Managing Partner at AIP Capital and a board member at Phoenix, expressed his optimism about the deal's implications. He stated, "This facility represents a key milestone in Phoenix's strategy of growing its fleet of next-generation aircraft assets on lease with airlines across the globe." He further emphasized that this is not just a financing agreement but a clear vote of confidence in Phoenix's growth trajectory and its access to capital markets.

A Future-Focused Partnership

The term loan facility reflects Phoenix and AIP's commitment to not only acquiring but strategically managing a fleet of modern aircraft. The lease agreements encompass a diverse range of airlines, which positions both companies favorably in the evolving commercial aviation landscape. As the demand for air travel continues to rebound post-pandemic, investments like these signify an adaptive approach to capitalizing on emerging opportunities in the aviation sector.

In-depth expertise in aircraft financing and a thorough understanding of the market’s needs underpin this partnership. Both entities bring a wealth of experience and a firm grasp of the aviation industry's complexities, ensuring that the fleet's growth aligns with market dynamics and customer expectations.

Legal and Advisory Support

To facilitate this agreement, prominent law firms provided legal assistance. Gibson Dunn offered counsel to both Phoenix and AIP, while Clifford Chance served the lenders in an advisory capacity. In Ireland, McCann Fitzgerald played a crucial role in advising both firms, and PwC contributed with tax guidance, ensuring all regulatory frameworks were meticulously adhered to.

About Phoenix Aviation Capital

Phoenix Aviation Capital, headquartered in Dublin, is a reputable full-service aircraft lessor known for its commitment to financing modern aircraft. The company's vision focuses on meeting its airline clients' diverse funding needs while ensuring its growth aligns with global aviation standards.

For those seeking further information about Phoenix Aviation or its strategic initiatives, the company encourages direct inquiries to their executive team.

AIP Capital's Role

Backed by an international presence with offices in Stamford, Dublin, and Singapore, AIP Capital is committed to generating attractive returns for its clients through its unique investment strategies in commercial aviation. This latest loan agreement marks another chapter in AIP’s ongoing mission to support and expand aviation opportunities across different markets.

As the landscape of commercial aviation evolves, Phoenix Aviation Capital and AIP Capital are strategically positioned to leverage their partnership for sustained growth and success in aircraft financing.