Avation PLC (LON:AVAP), the commercial passenger aircraft leasing company, has priced and issued a US$20,000,000 tranche of its 7.5% senior notes due 2020.
The “tap” issue was priced at a premium at 101.25.
The issued notes will be consolidated into a single series with the existing US$100,000,000 7.5% senior notes due 2020 that were issued in 2015, Avation said.
Money from the loan notes issue has largely been earmarked for the purchase of a new ATR72-600 aircraft in June 2017.
Avation expects this aircraft will enter service under an operating lease with a new airline customer in July 2017.
"The company has recently observed significant large scale orders for new ATR72-600 aircraft and is pleased that the regional aircraft market segment in Asia continues to develop with new airlines operating additional aircraft in line with growing passenger numbers,” said executive chairman, Jeff Chatfield.
“Avation remains with a further 27 options for ATR72-600 aircraft,” Chatfield added.