Singapore Sovereign Wealth Fund Invests In Aircraft-Leasing Venture
October 27 2011 - 2:48PM
Dow Jones News
Avolon, the Irish aircraft lessor, Thursday said it has secured
$300 million from a Singapore sovereign wealth fund to accelerate
expansion and cement its position in Asia's fast-growing aviation
market.
The equity placement marks a rare foray by a sovereign fund into
the closely knit aircraft finance business and highlights efforts
to diversify funding sources following a pullback by European banks
from the sector in recent months.
The commitment from the Government of Singapore Investment Corp.
also highlights the city-state's efforts to expand in specialized
financial services, which have seen it lure aircraft lessors and
financiers with supportive tax and legal moves.
Singapore's main investment arm, Temasek Holdings, held a
minority stake in Singapore Aircraft Leasing Enterprise before
being bought out in 2006 by Bank of China Ltd. (BACHY, 3988.HK,
601988.SH), which renamed the business BOC Aviation.
Dublin-based Avolon was launched last year with backing from
three private-equity firms, and secured more funding earlier this
year from a group of U.S. banks.
The company said the latest round boosted its total raised
equity capital above $4 billion, which it has used to build a fleet
of 88 planes, a portfolio seen rising to 150 by 2014.
-By Doug Cameron, Dow Jones Newswires; 312-750-4135;
doug.cameron@dowjones.com
Global Industrial (NYSE:GIC)
Historical Stock Chart
From Apr 2024 to May 2024
Global Industrial (NYSE:GIC)
Historical Stock Chart
From May 2023 to May 2024