AviLease is reported to be in advanced talks to acquire an aviation finance business from Standard Chartered Plc, reports Bloomberg, citing sources close to the lessor. Both the companies are very close to finalising the deal valued at approximately $3.7bn, sources claim.
Citing confidentiality, the people close to the deal have asked not to be identified claiming that discussion is currently ongoing and may still falter.
Standard Chartered Aviation Finance owns and manages more than 120 aircraft and offers services including jet fuel hedging, debt financing and remarketing of unneeded planes. Standard Chartered is selling the asset as part of plans to cut costs and boost shareholder returns.
Experts claim that this deal would help AviLease boost its presence in leasing markets in the Middle East and other parts of the world.
AviLease is led by Ted O’Byrne, who previously oversaw Carlyle Group’s aviation arm. Just recently, AviLease acquired 13 aircraft from Avolon, taking its portfolio to 45 planes.