Riyadh: AviLease, the global aircraft lessor wholly owned by the Public Investment Fund (PIF), has successfully priced its offering of $650 million in aggregate principal amount of 5.50% senior unsecured notes due 2031. This issuance was conducted by AviLease Capital Limited, a directly wholly owned subsidiary of AviLease, under its Global Medium Term Note Programme.

According to Saudi Press Agency, the notes will carry a fixed coupon rate of 5.50% per annum, payable semi-annually in arrears, and are set to mature in June 2031. The notes will be fully and unconditionally guaranteed by AviLease and certain of its subsidiaries. Credit ratings for the notes have been assigned as Baa2 by Moody's and BBB by Fitch.

The proceeds from this issuance are intended to be used by AviLease for general corporate purposes. The offering attracted significant attention from investors worldwide, being oversubscribed by more than 5.3 times, indicating strong global demand.

Edward O'Byrne, CEO of AviLease, commented on the success of this transaction, stating that it underscores the confidence global investors have in AviLease. He emphasized that this second bond issuance highlights their consistent ability to access international capital markets and reflects the strength of their business. The funds will support AviLease's ambitions to expand its fleet and move closer to its goal of becoming one of the top 10 aircraft leasing companies by 2030.