Aviation Capital Group issues $477 million of secured notes

Aviation Capital Group (ACG) has announced the issuance of $477 million of fixed rate secured notes by MACH 1 Cayman Limited and MACH 1 USA LLC, comprised of $403 million of series A notes rated A with an initial LTV of 66.9%; and $74 million of series B notes rated BBB with an initial LTV of 79.2%, assigned by Kroll Bond Rating Agency (KBRA).

Proceeds from the issuance of the Notes will be used by ACG to acquire a portfolio of 24 aircraft on lease to 19 lessees located in 15 countries.

As of July 31, the initial weighted average age of the portfolio is approximately 7.8 years with a weighted average remaining lease term of approximately 5 years.

The portfolio consists of 12 A320-200 aircraft, 10 B737-800 aircraft, one B 737-900ER and one B737-700.

ACG Aircraft Leasing Ireland Limited is the servicer.

Canyon Financial Services Limited is acting as the managing agent.

In addition, UMB Bank, National Association is acting as the security trustee, operating bank and trustee.

BNP Paribas is the liquidity facility provider.

The sole structuring agent, global coordinator and left lead bookrunner is Mizuho Securities USA LLC.