Aviation

The most important Aviation deal concluded during the year was a US$786.1 million aircraft lease portfolio term loan for Aircastle Limited closed in May 2008. DVB, together with Calyon, HSH Nordbank and KfW IPEX-Bank, were mandated by Aircastle as lead arrangers for this 5.5-year secured term loan, the proceeds of which were used to repay an existing warehouse facility. This hybrid financing, which blended features of secured bank debt and asset-backed securities, was backed by a portfolio of 28 aircraft.

Aircastle is one of the leading aircraft leasing companies, yet at the time had little presence in the bank market, having previously accessed the US capital markets for significant funding requirements. Through the joint efforts of our client and the joint-lead arrangers, the facility was oversubscribed in syndication, with a further six aviation finance banks joining the deal. The transaction was awarded Aircraft Capital Markets Deal of the Year by Jane's Transport Finance.