PIF-owned AviLease prices $650m notes due 2031

25/06/2026 06:46 AST

AviLease, the global aircraft lessor wholly owned by Saudi Arabia's Public Investment Fund, has priced a $650 million offering of 5.50 percent senior unsecured notes due 2031 through AviLease Capital Ltd., a directly wholly owned subsidiary of AviLease, under its Global Medium Term Note Program.

The notes will bear a fixed coupon of 5.50 percent per annum, payable semiannually in arrears, and will mature in June 2031.

The notes will be fully and unconditionally guaranteed by AviLease and certain subsidiaries.

The notes are rated Baa2 by Moody's and BBB by Fitch.

AviLease intends to use the net proceeds from the offering for general corporate purposes. The offering was more than 5.3 times oversubscribed, with strong demand from investors globally.

AviLease CEO Edward O'Byrne said: "This transaction is a testament to the confidence global investors have placed in AviLease. Our second bond issuance demonstrates our ability to consistently access international capital markets, reflecting the strength of our business. The proceeds will further enable us to grow our fleet as we continue our trajectory to becoming a top 10 aircraft leasing company by 2030."

The issuance follows AviLease's inaugural $850 million international bond offering in November 2025, which marked the launch of its GMTN Program and opened unsecured debt capital markets as a new funding channel for the company.

The debut offering attracted strong investor demand, with orders exceeding 3.75 times the amount offered, underscoring growing international confidence in the Saudi aircraft lessor's credit profile and long-term growth strategy.

The latest bond sale comes as AviLease continues to expand its global platform. In its 2025 financial results, the company reported revenue of $664 million, up 19 percent year on year, while profit before tax doubled to $122 million.

Its portfolio expanded to 202 owned and managed aircraft leased to more than 50 airlines across more than 30 countries, with total assets reaching $9.3 billion. The company has said it aims to become one of the world's top 10 aircraft leasing companies by 2030.

Since its launch in 2022, AviLease has committed to acquiring more than 200 aircraft, underscoring the rapid expansion of its global leasing platform.

SPA