CDB Aviation Closes $492 million Secured Portfolio Financing
HONG KONG – December 11, 2017 – CDB Aviation Lease Finance DAC (“CDB Aviation”), a wholly owned Irish subsidiary of China Development Bank Financial Leasing Co., Limited (“CDB Leasing”), announced today that the company successfully closed a secured portfolio financing facility covering 14 recent Airbus and Boeing narrowbody aircraft on lease to five lessees.
The facility was extended to CDB Aviation’s wholly-owned subsidiary CDB Aviation Funding 2017 Limited with CDB Aviation acting as lease servicer.
“This facility is an important transaction for CDB Aviation, allowing us to advance our objective of diversifying the company’s sources of financing and to deepen our relationships with a number of our banking partners,” said CDB Aviation Chief Financial Officer Will Gramolt.
The five-year $492 million facility is provided by a group of five banks consisting of Citi, Crédit Agricole Corporate and Investment Bank, National Australia Bank Limited, Natixis and Westpac Banking Corporation, each acting as Mandated Lead Arranger.
Gramolt added: “We appreciate the strong support from the participating banks which allowed us to conclude a facility that is a competitive supplement to CDB Aviation’s unsecured financing.”
The Facility Agent is Crédit Agricole Corporate and Investment Bank and the Security Trustee is Bank of Utah.
Allen & Overy LLP acted for the Mandated Lead Arrangers and Clifford Chance LLP represented CDB Aviation.
About CDB Aviation
CDB Aviation Lease Finance DAC (“CDB Aviation”) is a wholly owned Irish subsidiary of China Development Bank Financial Leasing Co., Limited (“CDB Leasing”) a 33-year-old Chinese leasing company that is backed mainly by the China Development Bank. China Development Bank is under the direct jurisdiction of the State Council of China and is the world’s largest development finance institution. It is also the largest Chinese bank for foreign investment and financing cooperation, long-term lending and bond issuance, enjoying Chinese sovereign credit rating.
CDB Leasing is the only leasing arm of the China Development Bank and a leading company in China’s leasing industry that has been engaged in aircraft, infrastructure, ship, commercial vehicle and construction machinery leasing and enjoys a Chinese sovereign credit rating. It took an important step in July 2016 to globalize and marketize its business – listing on the Hong Kong Stock Exchange (HKEX STOCK CODE: 1606).
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