Aircraft painting and aviation services company International Aerospace Coatings (IAC) has completed its inaugural issuance of 4(a)2 private placement notes with an investment grade rating, it said on June 25, 2025.
The financing raised over $240 million of capital from leading infrastructure lenders with proceeds being used to refinance IAC's existing credit facilities and drive the company's continued growth and global expansion.
“The financing provides IAC with multiple strategic benefits and establishes us as an investment grade debt issuer for the first time in our 40-year history,” said Martin O’Connell, CEO of IAC. “The rating reflects IAC’s market leading position, and the financing is a first of its kind for our industry. We believe that the refinancing materially improves IAC’s cost of capital, and it extends our debt maturities to better align with the long-term nature of our underlying infrastructure assets.”
He continued: “The financing also provides us with substantial additional debt capacity to fund our growth plans including building new purpose-build hangars to meet our customers’ needs. There is currently a shortfall of global dedicated paint capacity which analysts project will become increasingly acute as demand for aircraft painting services continues to grow well in excess of GDP. As the largest independent aircraft painting company in the world, we are expanding IAC’s strategic footprint of purpose-built hangars to address these current and projected demands to best serve our loyal customers.”
DC Advisory led the transaction as financial advisor to IAC. Latham & Watkins LLP acted as legal counsel to IAC.