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Castlelake Completes Financing to United Airlines Backed by 787 Dreamliners

Transaction continues Castlelake’s momentum in Aviation Lending Program

Castlelake, L.P. (“Castlelake”), a global alternative investment firm with 17 years of experience investing in, financing and managing aviation assets, today announced it has completed the financing of a loan to United Airlines (“United”) through Castlelake’s Aviation Lending Program. The loan is secured by four Boeing 2020 Vintage 787-9 aircraft, which have an appraised aircraft value of more than $540 million.

“We are pleased to partner with United, one of the world’s largest airlines, to provide them with tailored financing solutions to support their global growth strategy,” said Armin Rothauser, Partner and Head of Asset-Backed Direct Lending at Castlelake. “In the current economic environment, we are seeing an increase in demand for flexible financing solutions and more opportunity to partner with airlines, lessors and other industry participants to deliver these solutions.”

“Castlelake’s deep expertise in aviation financing and investing have been exceptionally valuable throughout our relationship,” said Pam Hendry, Vice President and Treasurer at United. “Through this transaction, we are able to further support our customers and global fleet.”

Castlelake’s Aviation Lending Program builds on the firm’s 17 years of experience investing in the aviation sector. Since March 2020, Castlelake has originated, purchased or committed approximately $5.4 billion in aviation lending opportunities. This transaction with United builds on Castlelake’s momentum working with aircraft operators as a capital provider and strategic partner, including the recent completion of two transactions totaling $100 million. 

Since inception, Castlelake funds have invested over $17 billion in aviation opportunities and has acquired more than 650 aircraft and developed relationships with approximately 200 airline partners. Recent activity includes a sale-leaseback with Scoot, a Singapore-based low-cost carrier and the close of the firm’s fourth aviation fund, Castlelake Aviation IV Stable Yield L.P., at $1.5 billion. 

View the press release.

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