US Airways Group has launched a $400million unsecured note offering. The senior notes are structured as a five-year bullet similar to the recent United Airways deal. This launch comes off the back of the tightening in terms and pricing of US Airways’ previously announced $1.6bn secured term loan, which is due to allocate shortly. Goldman Sachs is a joint lead on both the bond and loan transactions. Citigroup, Barclays, Morgan Stanley and Credit Suisse are also joint bookrunners.
US Airways intends to use the proceeds from the senior notes offering for general corporate purposes.
Also today, International Lease Finance Corp (ILFC) has announced a $550 million senior unsecured floating rate note offering. The notes have a three-year tenor and are non-call life. The transaction will not grow and is targeting completion later today. ILFC intend to use the net proceeds from this offering for general corporate purposes, including the repayment of other existing indebtedness and the purchase of aircraft.
Goldman Sachs is left-lead bookrunner on this transaction. Joint bookrunners are Bank of America Merrill Lynch, Deutsche Bank, Citigroup, Credit Suisse, JP Morgan, UBS, Morgan Stanley and RBC Capital Markets.
Floating rate note issuances are rare for the aviation market but initial reports suggest this issuance is being very well received by the market.
Note issuances for US Airways and ILFC today
