Goldman Sachs, RBC Capital Markets, and Morgan Stanley yesterday launched syndication of their $360 million, six-year term loan for AWAS Aviation Capital, setting price talk of L+450-475, with a 1.25% LIBOR floor and a 98.5 offer price, sources said. The loan includes a 101, one-year soft call premium.
The loan will be used to finance a pool of 12 aircraft with an average age of one year. The deal includes refinancing of a warehouse line as well as new aircraft purchases, sources said. It’s governed by a loan-to-value covenant set at 74.4%, with opening loan to value of roughly 69.4.
The loan also includes restrictions on swapping collateral, among other covenants, sources said. Ratings are BBB-/Ba2 on the loan.
Wells Fargo has signed on as collateral agent, sources noted.
Commitments are due on Tuesday, June 26, sources said.
The Dublin-based aircraft-leasing company last tapped the loan market in June 2011 via Goldman Sachs and Morgan Stanley for a repricing of its $500 million TLB, which matures in 2016. At the time, pricing on the loan was reduced to L+400, with a 1.25% LIBOR floor. The existing term loan is currently quoted in a 99/100 context.