SMBC Aviation Capital closes $500 million senior unsecured bond offering

Dublin, 18 October 2021: SMBC Aviation Capital, one of the world’s leading aircraft leasing companies, today announced that its wholly-owned subsidiary, SMBC Aviation Capital Finance DAC, has closed the sale of $500 million principal amount of 1.900%, five-year senior unsecured notes due October 2026 (the “Notes”). The Notes are fully and unconditionally guaranteed by SMBC Aviation Capital.

This bond placement – priced at US Treasuries plus 93 basis points – represents SMBC Aviation Capital’s tightest spread achieved to date reflecting the fact that its bonds currently trade the tightest in the sector. This deal follows the company’s  seven-year, $500m bond issuance in June 2021.

Eithne Manning, Acting Chief Financial Officer, SMBC Aviation Capital, said: “This further bond issuance at an industry leading pricing further strengthens SMBC Aviation Capital’s strong liquidity position. Our ongoing strong shareholder support, together with our ability to access third party debt financing on market leading terms, is a key point of competitive differentiation. This additional financing means we are well positioned to capitalise on opportunities within an airline sector that is recovering from the pandemic.”

SMBC Aviation Capital is one of the top five aircraft lessors globally, with a fleet comprising 734 owned, managed and committed aircraft, as at 30th June 2021 and benefits from a close relationship with its shareholders Sumitomo Mitsui Financial Group and Sumitomo Corporation. SMBC Aviation Capital has a strong capital position and holds the joint highest credit rating out of all aircraft leasing companies, reflecting the long-term strength of its business.

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For more information please contact:

Conor Irwin, SMBC Aviation Capital, Mobile: +353 87 3816106                                                                                                      

Richard Webster-Smith, Finsbury Glover Hering, Mobile: +44 7796 708 551

Theo Davies-Lewis, Finsbury Glover Hering, Mobile: +44 7920 084 746

Note to Editors

About SMBC Aviation Capital  

Based in the IFSC in Dublin Ireland, SMBC Aviation Capital is one of the world’s leading aircraft operating lease companies. In operation since 2001, SMBC Aviation Capital has an owned and managed fleet, comprising 734 owned, managed and committed aircraft.  Established in 2001, the company was acquired in 2012 by a consortium comprising of two of Japan’s biggest companies SMFG and Sumitomo Corporation.  For further information go to https://www.smbc.aero/