

An A330neo.
Avolon, an Irish aviation finance company and lessor, has completed the acquisition of its rival, Castlelake Aviation Limited (CA Ltd), from Castlelake L.P.’s aviation platform.
Avolon initially announced the deal in September. As of 31 March 2024, CA Ltd’s total assets amounted to USD 5.0 billion, which included a portfolio of 105 aircraft on lease (this has now increased to 106), commitments for 10 new-technology aircraft (this has reduced to 10), two engines on lease, and nine loans.
At the time of the deal, the portfolio comprised 68% narrowbody aircraft and 70% new technology aircraft, with a weighted average aircraft age of 4.7 years and a weighted average remaining lease term of 8.4 years.
In September 2024, Andy Cronin, CEO of Avolon, commented: “This transaction accelerates our growth plans [by] adding a portfolio of assets that will further strengthen our cash flow and earnings profile. Our balance sheet strength, high levels of liquidity, and established capital markets access have enabled us to acquire these assets. They are complementary to our existing portfolio and will increase our fleet at attractive yields, supporting our positive ratings trajectory.”
Also at the time of the initial announcement, Joe McConnell, Castlelake Partner and Deputy Co-Chief Investment Officer, said: “We’re pleased to collaborate with Avolon on this notable transaction, delivering what we believe is a win-win for all parties: returning capital to Castlelake’s and CA Ltd.’s investor stakeholders, position lessees for ongoing high-quality asset management services, and provide Avolon with a fleet of high-quality aircraft assets.”
Following the acquisition, Avolon’s fleet has increased to 1,129 aircraft, including 664 owned and managed aircraft and commitments for 465 unspecified new-technology aircraft.
Image: Avolon