Chorus Aviation acquires six ATR 72-600 aircraft on lease to Flybe and Virgin Australia

Eleanor Steed
By Eleanor Steed April 24, 2017 16:45

Chorus Aviation acquires six ATR 72-600 aircraft on lease to Flybe and Virgin Australia

Chorus Aviation (Chorus) has announced agreements by Chorus Aviation Capital’s subsidiaries to acquire six ATR 72-600 aircraft with attached leases from Avation. Three of these aircraft are currently on lease to U.K. carrier, Flybe, and three to Virgin Australia Airlines. The aircraft are between one and four years old and are the first ATRs added to Chorus Aviation Capital’s growing regional aircraft fleet.

Commenting on the planned purchase, Chorus Aviation Capital’s President, Steven Ridolfi, said, “We are delighted to announce this portfolio acquisition, adding two outstanding customers to our growing pool of airline lessees, and welcoming the addition of the first ATRs to our diversifying fleet.”

Joe Randell, President and Chief Executive Officer, Chorus, said, “This investment further demonstrates the targeted expansion and growth strategy for Chorus into regional aircraft leasing. We are building a leading global regional aircraft lessor and look forward to announcing additional opportunities in the months ahead.”

The aggregate purchase price for the aircraft is consistent with current market values for similar aircraft, and Chorus Aviation Capital intends to finance the purchase utilizing a combination of debt financing and cash with a leverage ratio of between three and four to one. The transactions are expected to close by the end of June 2017 and are subject to customary conditions precedent to closing, including novation of the existing leases and receipt of debt financing.

Eleanor Steed
By Eleanor Steed April 24, 2017 16:45