AerCap’s jumbo bonds flies

AerCap’s most recent senior unsecured bond issuance has been a resounding success as investors clamoured for the aircraft lessor’s paper. The notes were priced at 395 basis points (bps) on May 17 but tightened to 270bps. AerCap successfully upsized the benchmark offering from $750 million to $1bn due to demand. This was despite the fact that the tenor of the bonds was extended to 2022 pushing the notes further towards six years than five year paper so AerCap could cover some maturities falling due in 2021. This extension did not seem to have any effect on investor interest and sources