Avolon has established a US$1.5 billion commercial paper programme through its wholly owned subsidiary Avolon Aerospace Leasing Limited, adding a short-term funding source to support aircraft leasing activity. The unsecured notes will be guaranteed by Avolon and certain subsidiaries and can be issued with up to US$1.5 billion outstanding principal.
The programme gives the lessor another financing tool alongside its revolving credit facilities as it manages aircraft acquisitions and debt refinancing. Proceeds will be used for general corporate purposes, including aircraft purchases and repayment of existing debt.
The notes will rank equally with Avolon’s other unsecured, unsubordinated debt. They are not registered under the US Securities Act and may only be offered or sold in the United States under an applicable exemption from registration.