Avation PLC (LON:AVAP), the commercial passenger aircraft leasing company, has purchased and delivered a spanking new Airbus A321-200 aircraft to Vietjet.
This aircraft is the second in a series of new A321 deliveries direct from the Airbus production facility in Hamburg, Germany.
Avation said the long duration operating lease terms are typical for an aircraft of this type and it has secured an asset backed senior debt facility to support the purchase.
Companies such as Avation, and its American rivals Airlease, Aircastle and Avolon, typically acquire an aircraft then lease it on, leaving the airline to take care of all the maintenance.
A typical aeroplane might be leased on the basis of repaying back to Avation around 144% of the acquisition price over the 12 years of a contract.
"Avation remains delighted that Vietjet selected Avation to provide a series of aircraft after a rigorous selection process. We are now delighted to be delivering the second in the series of new aircraft to Vietjet. The addition of this aircraft brings Avation's fleet to 39," said Avation’s chairman, Jeff Chatfield.