Goshawk out with $529 million ABS

Darren Wood
By Darren Wood May 14, 2019 14:28

Goshawk out with $529 million ABS

Goshawk is in the market with its first aviation asset backed securitisation (ABS) – Pioneer Aircraft Finance 2019-1.

The $529 million ABS comprises three tranches of notes: $429 million A notes, rated A by Kroll Bond Rating Agency (KBRA), with an initial loan-to-value (LTV) ratio of 66.9%; $75 million of B notes rated BBB, with an initial LTV of 78.6%; and $26 million C notes rated BB, with an initial LTV of 82.6%.

Goshawk entities will collectively acquire a minority portion (10%) of the equity.

The notes are secured on a portfolio of 18 aircraft – 11 A320-200s, five 737-800s, one 737-900ER and one E19 – on lease to 18 lessees located in 15 countries.

The portfolio has an initial value of approximately $640.1 million; with an aggregate maintenance-adjusted current market value of approximately $628.5 million.

As of the first fiscal quarter of 2019, the initial weighted average aircraft age of the portfolio is approximately 5.3 years with a weighted average remaining lease term of approximately 5.1 years.

Mizuho is the global coordinator, sole structuring agent and left lead bookrunner. Crédit Agricole-CIB is the nine-month liquidity facility provider. Maples is the managing agent, with Citi as the security trustee, operating bank, paying agent and trustee.

Darren Wood
By Darren Wood May 14, 2019 14:28