Subscribe Free
in Business & Finance

DAE supports first ABS transaction of the year

Posted 2 February 2017 · Add Comment

Dubai-based DAE is behind an asset backed securitisation (ABS) deal for US Falcon Aerospace Limited and Falcon Aerospace USA LLC. The first such transaction in the industry this year.

Falcon is receiving $410 million of asset-backed secured term loans to support the purchase of 21 in-production, narrow-body aircraft. 

DAE is the servicer for the transaction.


CEO Firoz Tarapore, said: “We are extremely pleased with the very successful pricing of our inaugural ABS transaction. We welcome the opportunity to broaden our financing base and partner with sophisticated investors in the US capital markets. This transaction will help us achieve our goal of substantially increasing our footprint in the aircraft leasing space.”

The $410million is offered in three classes of loans, all maturing in 2042. The $315 million A loans, with an initial loan-to-value ratio of 63.5%, are rated A by Kroll Bond Ratings and Standard and Poor’s. The $65 million B loan tranche is rated BBB by Kroll and S&P with an initial LTV of 76.6%, while the BB-rated $30 million C loan tranche has an LTV of 82.6%.

Falcon Aerospace Limited will also issue an E Certificate in partial consideration for the sale of the aircraft.

Goldman Sachs is the sole structuring agent on the deal. Credit Agricole-CIB is providing the liquidity facility, with Wells Fargo as the trustee and phoenix American Financial Services as the managing agent.
 

* required field

Post a comment

Other Stories
Advertisement
Latest News

CCD to create control rooms for Abu Dhabiís new Midfield Terminal

CCD Design and Ergonomics has been appointed to design and create four new control rooms at the new Midfield Terminal at Abu Dhabi International Airport.

Ras Al Khaimah wins Middle Eastís Leading Adventure Destination 2018í award

Ras Al Khaimah Tourism Development Authority (RAKTDA) has celebrated two major wins at The World Travel Awards 2018.

Etihad Airways to host AI Robot Sophia at ATM

Etihad Airways will introduce Humanoid Robot Sophia to the UAE as a spokesperson for the future of innovation and technology in aviation at ATM.

İstanbul New Airport will house 451-room hotel to be operated by YOTEL

İGA, the constructer and operator of İstanbul New Airport (İNA) for 25 years,and YOTEL, the London based hotel group, have signed an exclusive hotel management contract.

Emirates wins four gongs at World Travel Awards Middle East 2018

Emirates has been recognised at the World Travel Awards Middle East 2018 with four awards - Middle Eastís Leading Airline, Middle Eastís Leading Airline Brand, Middle Eastís Leading Business Class Airport Lounge and Middle Eastís

Emirates Aviation University receives official visit from Dubai Police

Emirates Aviation University has welcomed Major-General Abdullah Khalifa Al Marri, commander-in-chief of Dubai Police at its main campus at Dubai Academic City.

TAA SK0902311218
See us at
Global Aerospace BT2018Cargo BT1004091018SOFEX BT2018AirportShow BT1502090518BIAS BT271017161118MEBAA BT1004121218ArabianTravelMkBT250418GATM BT1004061118Istanbul Airshow BT22018ASDubai BT1004091018