BOCA RATON, Fla., Oct. 6, 2015 /PRNewswire/ -- Global Jet Capital,
a company providing leasing and lending solutions for large-cabin,
long-range private jets, has signed an agreement to purchase
approximately $2.5 billion in net
assets from GE Capital's Corporate Aircraft portfolio in the
Americas.
The portfolio has adhered to the most comprehensive underwriting
and collateral evaluation practices and it has industry leading
documentation and collateral securing processes.
In addition to GE's aircraft loan and lease portfolio, the GE
Capital Corporate Aircraft team will join the Global Jet Capital
organization.
Global Jet Capital, which was launched last year, is capitalized
by investment funds managed by Franklin Square Capital Partners
(sub-advised by GSO Capital Partners, a Blackstone company); The
Carlyle Group; and AE Industrial Partners.
The company's current management team and executive committee is
comprised of leaders from business jet manufacturers, maintenance
and service providers and leading financial institutions who have
served the private aircraft industry for a combined 200-plus years
and have completed over 3,500 aircraft transactions.
A portion of the committed financing for the transaction was
provided by FS Investment Corporation (NYSE: FSIC), FS Investment
Corporation II (FSIC II), FS Investment Corporation III (FSIC III)
and FS Energy & Power Fund (FSEP), BDCs managed by affiliates
of Franklin Square and sub-advised by GSO Capital Partners LP (GSO)
or its affiliates.
"This transaction is key to the execution of Global Jet's growth
strategy," said Michael C. Forman,
Chairman and Chief Executive Officer of Franklin Square. "We are
pleased that the scale of our BDC platform enabled us to support
Global Jet in an acquisition of this size."
"This transaction demonstrates the vision and determination of
our partnership group to build the leading corporate aircraft
financing platform in the world. We have a uniquely talented
management team and unparalleled financial resources," commented
Marc Baliotti, Managing Director at
GSO.
Shawn Vick, Executive Director of
Global Jet Capital said, "We are investing heavily in growing the
business both organically and through strategic acquisitions such
as this one with GE. This is a prime example of our industry
expertise and investment capital coming together to evaluate and
identify an opportunity to expand the business in a disciplined,
carefully measured way."
"We are pleased to sell our Corporate Aircraft financing
portfolio to Global Jet Capital, a buyer that is fully committed to
investing and growing the business," said Keith Sherin, GE Capital chairman and CEO. "We
know our customers will benefit from the combined strength and
expertise of the Global Jet Capital team and will continue to
receive the high level of service they have come to expect from
us."
The transaction is expected to close in stages over the next
several months, subject to customary regulatory and other
approvals.
About FSIC
FSIC is a publicly traded BDC focused on providing customized
credit solutions to private middle market U.S. companies. FSIC
seeks to invest primarily in the senior secured debt and, to a
lesser extent, the subordinated debt of private middle market
companies to achieve the best risk-adjusted returns for its
investors. In connection with its debt investments, FSIC may
receive equity interests such as warrants or options.
FSIC is advised by FB Income Advisor, LLC, an affiliate of
Franklin Square, and is sub-advised by GSO / Blackstone Debt Funds
Management LLC (GDFM), an affiliate of GSO. GSO, with approximately
$81.3 billion in assets under
management as of June 30, 2015, is
the credit platform of Blackstone, one of the world's leading
managers of alternative investments. For more information, please
visit www.fsinvestmentcorp.com.
About FSIC II and FSIC III
FSIC II and FSIC III are publicly registered, non-traded BDCs
sponsored by Franklin Square. FSIC
II and FSIC III focus primarily on investing in the debt securities
of private companies throughout the
United States, with the investment objectives of generating
current income and, to a lesser extent, long-term capital
appreciation for their investors. FSIC II and FSIC III are advised
by affiliates of Franklin Square and are sub-advised by GDFM. For
more information, please visit www.franklinsquare.com.
About FSEP
FSEP is a publicly registered, non-traded BDC sponsored by
Franklin Square. FSEP focuses
primarily on investing in the debt and income-oriented equity
securities of privately held U.S. companies in the energy and power
industry. FSEP's investment objectives are to generate current
income and long-term capital appreciation. FSEP is advised by FS
Investment Advisor, LLC, an affiliate of Franklin Square, and is
sub-advised by GSO.
About Franklin Square
Franklin Square is a leading
manager of alternative investment funds designed to enhance
investors' portfolios by providing access to asset classes,
strategies and asset managers that typically have been available to
only the largest institutional investors. The firm's funds offer
"endowment-style" investment strategies that help construct
diversified portfolios and manage risk. Franklin Square strives not only to maximize
investment returns but also to set the industry standard for best
practices by focusing on transparency, investor protection and
education for investment professionals and their clients.
Founded in Philadelphia in
2007, Franklin Square quickly established itself as a leader in the
world of alternative investments by introducing innovative
credit-based income funds, including the industry's first
non-traded BDC. As of June 30, 2015,
the firm managed approximately $16.8
billion in total assets, including $15.4 billion in BDC assets, making it the
largest manager of BDCs. For more information, please visit
www.franklinsquare.com.
Contact Information:
Franklin Square Media Team
media@franklinsquare.com
215-495-1174
Jim Ballan
Senior Vice President,
Investor Relations & Capital Markets
james.ballan@franklinsquare.com
267-439-4375
About Global Jet Capital
Global Jet Capital is a financial services company providing
financing solutions for the private aircraft market. The business
is capitalized by world-class private investors with expertise in
the global aviation industry: GSO Capital Partners, a Blackstone
company, in partnership with Franklin Square Capital Partners, The
Carlyle Group and AE Industrial Partners. We offer a management
team with expertise in financing, asset management, acquisition,
marketing, lease administration and product support that
understands the intricacies of the private aircraft market. Global
Jet Capital serves virtually all jurisdictions and has the capital
and expertise to meet the needs of the global private aircraft
market, with flexibility and speed.
About The Carlyle Group
The Carlyle Group (NASDAQ: CG) is a global alternative asset
manager with $203 billion of assets
under management across 126 funds and 139 fund of funds vehicles as
of June 30, 2014. Carlyle's purpose
is to invest wisely and create value on behalf of its investors.
Carlyle invests across four segments – Corporate Private Equity,
Real Assets, Global Market Strategies and Solutions – in
Africa, Asia, Australia, Europe, the Middle
East, North America and
South America. Carlyle has
expertise in various industries including aerospace, defense and
government services; consumer and retail; energy; financial
services; healthcare; industrial; real estate; technology and
business services; telecommunications; and media and
transportation. The Carlyle Group employs more than 1,600 people in
40 offices across six continents. www.carlyle.com
About AE Industrial Partners
AE Industrial Partners was founded in 1998 by Brian H. Rowe and David
H. Rowe to channel their extensive network of business
relationships in the aerospace industry into a private equity
portfolio of aerospace investments. Over the years, AE Industrial
Partners developed a proprietary network of operating executives
focused on investing in the aerospace and power generation
industries with capital provided by the founders, its partners and
industry executives. www.aeroequity.com
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SOURCE Franklin Square Capital Partners