Airlines look for Sale and Leaseback options

Sale and Leaseback transactions 

The sale and leaseback model is the current most talked about option for airlines who without government intervention will need to look for ways to access long term liquidity. The sale and leaseback model offers a quick solution if you can find a lessor or investor that has a strong balance sheet and believes that this is a temporary setback to the aviation industry, albeit unprecedented. As with other setbacks such as 9/11, airlines and airports will need several months to restore confidence in consumer travel.

Although much of the usual trading activity for aircraft is curtailed in the current environment there are still transactions closing.  As industry stakeholders take stock of their position and develop strategy for the coming months and years, appetite for deals and trading activity will return and grow once again. Whether you have been an active investor in the market before or have been monitoring the market for sometime and looking for an opportunity to enter, the team at Amstrow would be pleased to discuss your aspirations and support you with your requirements for Irish company corporate infrastructure and lease management services. 

Airlines are at initial stages of discussing the sale and leaseback options with potential letters of intent being signed by the end of the summer with a view that after structuring setup, legal considerations, tax analysis and aircraft inspections that transactions will close by year end. 

The structuring options will usually involve the setup of an aircraft SPC either as a subsidiary of the lessor to provide an operating lease or may require an orphan SPC for a finance lease structure both of which Amstrow manage for clients. Investors and large corporations prefer the orphan SPC structure combined with a S110 Irish tax structure which can provide many benefits and is widely used for aviation and other asset classes. 

We have an experienced team ready to provide you with a quick and responsive service to set up an Irish SPC, we offer a full suite of corporate services including but not limited to providing a registered office, company directors, company secretary, employee services, statutory and regulatory reporting returns and accounts preparation.  We also offer lease management services ranging from lease administration to coordinating asset management and can also assist in transaction structuring and origination activities as required.

Also, more generally, our long-term experience in the market positions us well to provide tailored Commercial Support to find solutions to Event Driven situations that arise particularly in these unprecedented times.

The Amstrow Team are fully available, please contact us to discuss your plans and requirements and we would be delighted to support you with your business development and growth plans.

For more information on the use of these types of structures please contact the team at Amstrow

Nigel Woods: Managing Director : nigel.woods@localhost or 

Chris Spencer: Head of Aviation chris.spencer@localhost

Sale and Leaseback transactions 

The sale and leaseback model is the current most talked about option for airlines who without government intervention will need to look for ways to access long term liquidity. The sale and leaseback model offers a quick solution if you can find a lessor or investor that has a strong balance sheet and believes that this is a temporary setback to the aviation industry, albeit unprecedented. As with other setbacks such as 9/11, airlines and airports will need several months to restore confidence in consumer travel.

Although much of the usual trading activity for aircraft is curtailed in the current environment there are still transactions closing.  As industry stakeholders take stock of their position and develop strategy for the coming months and years, appetite for deals and trading activity will return and grow once again. Whether you have been an active investor in the market before or have been monitoring the market for sometime and looking for an opportunity to enter, the team at Amstrow would be pleased to discuss your aspirations and support you with your requirements for Irish company corporate infrastructure and lease management services. 

Airlines are at initial stages of discussing the sale and leaseback options with potential letters of intent being signed by the end of the summer with a view that after structuring setup, legal considerations, tax analysis and aircraft inspections that transactions will close by year end. 

The structuring options will usually involve the setup of an aircraft SPC either as a subsidiary of the lessor to provide an operating lease or may require an orphan SPC for a finance lease structure both of which Amstrow manage for clients. Investors and large corporations prefer the orphan SPC structure combined with a S110 Irish tax structure which can provide many benefits and is widely used for aviation and other asset classes. 

We have an experienced team ready to provide you with a quick and responsive service to set up an Irish SPC, we offer a full suite of corporate services including but not limited to providing a registered office, company directors, company secretary, employee services, statutory and regulatory reporting returns and accounts preparation.  We also offer lease management services ranging from lease administration to coordinating asset management and can also assist in transaction structuring and origination activities as required.

Also, more generally, our long-term experience in the market positions us well to provide tailored Commercial Support to find solutions to Event Driven situations that arise particularly in these unprecedented times.

The Amstrow Team are fully available, please contact us to discuss your plans and requirements and we would be delighted to support you with your business development and growth plans.

For more information on the use of these types of structures please contact the team at Amstrow

Nigel Woods: Managing Director : nigel.woods@localhost or 

Chris Spencer: Head of Aviation chris.spencer@localhost