7.29.22
Aviation ABS: Heading in a New Direction with a New Player
Voyager Aviation, an aircraft management and leasing firm based in Dublin, has announced its intention to venture into ABS with an initial offering of $600 to $750 million in 2023. They are expanding their current fleet of 19 wide-body aircrafts to a total of 40 to 50 planes by acquiring planes that have lower operating costs and are more fuel-efficient. The leases will serve as collateral for the new securitized bonds. Aviation ABS has seen only two new offerings this year; however, the increasing demand for air travel and limited supply of new planes is expected to “uphold robust aircraft utilization, market values and lease rates, and will help lessors remarket aircraft to new airlines rather quickly upon lease expiry or lease default, aiding ABS performance.”