QFB and Novus acquire two 737-900ERs on lease to Lion Air

Dino D'Amore
By Dino D'Amore June 23, 2016 13:40

QFB and Novus acquire two 737-900ERs on lease to Lion Air

Qatar First Bank (QFB) and Novus Aviation Capital have invested in the global aircraft leasing industry through the indirect acquisition and lease of two 2011 vintage Boeing 737-900ER single-aisle aircraft to Lion Air.
Ziad Makkawi (pictured), CEO of QFB, said: “We are delighted to have provided our clients, who have shown a strong interest, with this attractive investment. The transaction is in line with our strategy to diversify QFB’s revenue sources. We see opportunities in the aviation industry as it has historically generated relatively predictable returns over the medium to long term, something the market is in search off.”
“The outlook for the leased aircraft type, the B737-900ER, is very favorable which has positive implications for the preservation of its market value, and more importantly will provide strategic investors with recurring and sustained income streams,” Makkawi added. “Our focus since the listing of the bank’s shares on the QSE was on generating steady income and offering shari’ah compliant structured products. This attractive investment fulfils these objectives as the aviation industry has maintained a stable and sustainable growth path in comparison with alternative investment benchmarks.”
The lease agreement will be managed by Dubai-based Novus Aviation Capital.
Commenting on the transaction, Safwan Kuzbari, President and CEO of Novus Aviation Capital, said: “We are very pleased to be partnering with Qatar First Bank on another landmark aircraft transaction and look forward to further developing our relationship on other attractive yielding aircraft assets.”
Novus Aviation Capital acted as sole arranger for both the financiering and leasing elements of the deal, with QFB exclusively involved in the Islamic financing part of the transaction.
Dino D'Amore
By Dino D'Amore June 23, 2016 13:40