China-based AVIC International Leasing (AVICIL) has issued international senior unsecured US-dollar notes totalling $800 million in two tranches: fixed rate and floating rate.
The floating rate notes include $500 million notes due 2030. The five-year notes have a spread of SOFR plus 83 basis points, payable quarterly. The maturity date is March 28, 2030.
The fixed rate $300 million senior unsecured notes due 2028, have a coupon rate of 4.625%. The notes have a spread of treasuries plus 63 basis points and a yield of 4.628%. The maturity date is March 28, 2028.
The notes are issued under the company's $3.5bn medium-term note programmed shared by AVICIL's wholly owned special purpose entities Soar Wise and Soar Wind.
Net proceeds will be used to repay debt.
Fitch assigned an A- rating on the notes, stating that the ratings are driven by the “very high profitability of support from its parent, Aviation Industry Corporation of China (AVIC)".
The joint global coordinators, joint bookrunners, and joint lead managers for the issuance include ABC International, AVIC International, Bank of China, Bank of Communications, China CITIC Bank International, China International Capital Corporation, CITIC Securities, DBS Bank, Guotai Junan International, Haitong International, Hua Xia Bank, and ICBC.
Additionally, the joint bookrunners and joint lead managers include BNP PARIBAS, CCB International, China Everbright Bank, China Minsheng Banking Hong Kong Branch, China Securities International, CMB International, CMB Wing Lung Bank, CMBC Capital, CNCB Capital, Crédit Agricole CIB, Industrial Bank, Shanghai Pudong Development Bank, and SMBC Nikko.