Chorus secures $300M credit facility
Chorus Aviation Inc. based in Halifax, through its wholly-owned subsidiary, Chorus Aviation Capital (Ireland) Ltd., has secured a US$300 million revolving credit facility to be used to finance future aircraft acquisitions for its regional aircraft leasing business.
January 22, 2019 By Wings Staff
Borrowing under this facility, explains the company, will be used to support the expansion of Chorus Aviation Capital’s regional aircraft portfolio beyond its current 34 aircraft valued at US$750 million.
“This facility will provide a committed and flexible source of debt capital further enhancing our ability to grow our regional aircraft portfolio,” said Steve Ridolfi, president, Chorus Aviation Capital Corp. “[This] announcement is an important step in our evolution, greatly increasing our capacity and enabling us to pursue a broader range of potential transactions.”
The facility is led by Deutsche Bank and includes Barclays and the Royal Bank of Canada as syndicate members. “Deutsche Bank is delighted to support Chorus with its inaugural portfolio acquisition facility for its growth aspirations in the regional aircraft sector,” said Richard Moody, managing director, global co-head, Transportation, Infrastructure & Energy, Deutsche Bank.
Loans under the facility, explains Chorus, are secured primarily by the aircraft assets and related leases financed by the facility and are guaranteed by Chorus Aviation Capital. Established in 2017, Chorus Aviation Capital currently has relationships with 12 regional airlines based in 12 countries. The company is focused on building a portfolio of new and mid-life regional aircraft, while working with its sister companies to provide a full suite of regional aviation services.