The Maples Group has assisted global aircraft leasing group BBAM with its latest aircraft securitisation transaction, Horizon 2024-1.
Horizon 2024-1 - which closed in September – issued $556 million of single-A rated 2049 notes. It is the latest issue in BBAM’s successful ‘Horizon’ series of aircraft asset-backed securities ABS transactions, which notably returns to the market for the first time since 2019.
The transaction proceeds will be used to acquire a portfolio of 17 narrowbody aircraft, based on an initial loan-to-value ratio of 66.3%.
“We were delighted to support BBAM and Horizon 2024-1 in such a broad capacity, with its successful return to the ABS market,” commented Jonathon Meloy, partner and head of Maples and Calder’s Cayman Islands finance practice.
The portfolio - which has an initial value of approximately $838.5 million - has a weighted average age of approximately 1.9 years, while the weighted average remaining term of the initial lease contracts is approximately 9.2 years.
The Maples Group acted in a cross-jurisdictional capacity for Horizon 2024-1, to ensure seamless support for the platform and the provision of a complete suite of legal, fiduciary and specialist management services. This end-to-end service comprised of Cayman Islands legal advice and listing services from the Group’s law firm, Maples and Calder and the appointment of the Group’s fiduciary services team in Ireland as managing agent.
Julian Dunphy, head of structured finance fiduciary – Ireland commented further, he said: “The Maples Group is distinguished in the aviation finance sector by our ability to provide the full spectrum of legal, managing agent, fiduciary and administration services from the key centres of the Cayman Islands, Ireland and Delaware, with an unparalleled level of client service.”
The Delaware fiduciary services team provided independent manager services to the US co-issuer, and the Group’s Cayman Islands fiduciary and corporate services teams provided local share trustee, anti-money laundering and corporate services to the issuer.