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Castlelake Completes Sale-leaseback and Financing with Avianca

Castlelake, L.P. (“Castlelake”), a global alternative investment firm with 16 years of tenure investing in, financing and managing aviation assets, today announced the completion of the sale and leaseback of six A330-200 freight aircraft to Avianca S.A. (“Avianca”) with a 10-year lease term.

“We are pleased to build on Castlelake’s existing relationship with Avianca to provide tailored capital solutions that help meet the growing demand for e-commerce in Latin America,” said Joe McConnell, Partner and Portfolio Manager at Castlelake, L.P. “As global airlines return their focus to growth, we look forward to leveraging our platform and extensive experience investing in, and operating, aviation assets to support their goals.”   

This sale-leaseback and financing is the latest of several transactions between Castlelake entities and Avianca and its subsidiaries this year, including a financing facility provided to Avianca and another provided to LifeMiles Ltd., the leading airline loyalty program serving airlines and airline passengers in Latin America.

“We value Castlelake’s support throughout our restructuring process. This transaction is a testament to the confidence of the market in our business model and future success. We are looking forward to continuing our relationship, as we prepare to capitalize on the recovery of the global airline industry,” said Francisco Raddatz Vice President of Fleet at Avianca.  

Castlelake has demonstrated substantial innovation over the course of the pandemic, launching an aviation lending business in 2020, followed by reopening the aircraft ABS market with Castlelake Aircraft Structured Trust 2021-1 in January 2021. In September 2021, Castlelake formed Castlelake Aviation Limited, a corporate lessor of commercial aircraft focused on financing young, modern, fuel-efficient aircraft. Castlelake’s differentiated aviation expertise and dedicated team of more than 60 professionals allows the firm to attempt to provide innovative, tailored capital solutions to aviation industry participants, including airline loyalty programs, airlines and other aircraft buyers.

Forward Looking Statements 

Certain items in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including, but not necessarily limited to, statements relating to future operations. These statements are based on management’s current expectations and beliefs and are subject to a number of factors that could lead to actual results materially different from those described in the forward-looking statements. Many of  but not all of these risks are described in the documents that Castlelake makes available to its investors, which you are encouraged to review. Castlelake can give no assurance that their expectations will be attained. There are important factors that could cause actual results, level of activity, performance or achievements to differ from the results, level of activity, performance or achievements expressed or implied in the forward looking statements. In light of these risks, uncertainties and assumptions, the future performance or events described in the forward-looking statements in this press release may not occur. Accordingly, you should not rely upon forward-looking statements as a prediction of actual results and we do not assume any responsibility for the accuracy or completeness of any of these forward-looking statements. Such forward-looking statements speak only as of the date of this press release. Castlelake expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Castlelake’s expectations with regard thereto or change in events, conditions or circumstances on which any statement is based. Further to this, past performance is not an indication or guarantee of future results and as such, there can be no guarantee that historical trends will continue.

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