Alternative asset manager Wafra has acquired Aquilia Air Capital from Warburg Pincus.
As part of the acquisition, Wafra will acquire a controlling interest in Aquila and provide substantial capital to support Aquila’s continued growth, furthering its mandate to purchase, sell, finance, and lease aircraft, engines, and other aviation equipment.
“Our partnership with Aquila marks a strategic expansion in our infrastructure portfolio. Aquila has built a differentiated business focused on providing in-demand equipment solutions to its global customer base of high-quality airlines,” said Adel Alderbas, chief investment officer of Wafra.
Aquila was created in order to capitalise on a market opportunity in building a specialty finance franchise in commercial aerospace, with an initial focus on purchasing, financing, and leasing mid- to late-life aircraft and engines. Over the past three years, Aquila has grown into a full-service leasing platform with in-house origination, lease management, and technical oversight.
"We are deeply grateful to Warburg Pincus for their belief in our vision and for supporting our growth over the last three and a half years," said Al Wood, CEO of Aquila Air Capital.
Wood added: "This milestone is a strong endorsement of our team’s hard work and the value we bring to the market. Partnering with Wafra will enable us to accelerate our expansion, introduce new products and services, and broaden our customer base globally."
Atlas SP Partners will provide a credit facility to support the acquisition of Aquila and fund its future growth. Evercore servied as Aquila’s financial advisor, and Kirkland & Ellis LLP provided legal counsel. Sidley Austin LLP served as legal counsel to Wafra.
Aquila will continue to operate as an independent business led by its current management team, with the financial terms of the agreement were not disclosed.
The acquisition is expected to close in during the final quarter of this year, pending receipt of customary regulatory approvals.