Fitch: Aircraft lessors increasingly tap capital markets
29th March 2012
TAP Air Portugal has completed its first Japanese operating lease with call option (JOLCO) facility in more than 20 years.
The JOLCO transaction, which supports TAP’s ongoing fleet renewal programme, financed one new Airbus A321neo (ACF) via a bespoke cross-currency structure. MUFG acted as arranger, underwriter and facility agent on the deal.
Giles Brand, partner at Norton Rose Fulbright who led the advising team, said that the JOLCO structure is designed to optimise capital efficiency and operational flexibility.
“This transaction reflects TAP’s commitment to modernising its fleet and underscores the versatility of JOLCO structures in today’s aviation finance landscape,” he said.
Chiranj Shah supported the transaction as senior associate at Norton Rose Fulbright.