SMBC Aviation Capital closes $650 million senior unsecured bond offering

Dublin, 5th May 2023: 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 $650 million principal amount of 5.450%, five-year senior unsecured notes due May 2028 (the “Notes”). The Notes are fully and unconditionally guaranteed by SMBC Aviation Capital.

The bond placement – priced at US Treasuries plus 200 basis points – represents SMBC Aviation Capital’s first bond issuance since October 2021 and first bond issuance since the acquisition of Goshawk Management Ltd. in December 2022. It is the company’s 7th successful bond offering following its debut capital markets issuance in July 2016 and emphasises the importance of the company’s bond programme in the business’s capital structure.

Aisling Kenny, Chief Financial Officer, SMBC Aviation Capital, said: “This bond issuance is the first bond offering by the business since late 2021. The strength and size of the orderbook for this issuance demonstrates the investor appetite for SMBC Aviation Capital and further strengthens our strong financial position. Our ongoing strong shareholder support, our ability to access debt financing from multiple funding avenues and our high-quality portfolio and customer base, continue to be key competitive advantages.”

SMBC Aviation Capital is the second largest aircraft lessor globally by number of aircraft and benefits from the strong support of its shareholders Sumitomo Mitsui Financial Group and Sumitomo Corporation. SMBC Aviation Capital has a high-quality global airline customer base with a portfolio comprising 82% narrow-body aircraft and 62% new technology aircraft (by net book value). SMBC Aviation Capital has a strong capital position and holds an A- and BBB+ rating with S&P and Fitch respectively, reflecting the long-term strength of its business.

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For more information please contact:
Conor Irwin, SMBC Aviation Capital         +353 87 3816106
Dara O’Sullivan, SMBC Aviation Capital   +353 86 021 0135
    
Richard Webster-Smith, FGS Global   +44 20 7251 3801
Theo Davies-Lewis, FGS Global         +44 20 7251 3801

For Investor enquiries, please contact:
Mark Allen, SMBC Aviation Capital         +353 87 226 3622

Note to Editors:

About SMBC Aviation Capital  

Based in the IFSC in Dublin Ireland, SMBC Aviation Capital is the second largest aircraft operating lease company globally by number of aircraft, with an owned, managed and committed fleet of just under 900 aircraft. The company focuses on the most technologically advanced, fuel efficient and narrowbody aircraft types, providing customers across the globe with the aircraft they need to successfully grow their businesses.  Established in 2001, the company was acquired in 2012 by a consortium comprised of two of Japan’s biggest companies SMFG and Sumitomo Corporation.  For additional information, please visit SMBC Aviation Capital’s website at https://www.smbc.aero/