LONDON – Global investment firm Carlyle Aviation Partners has signed an agreement to acquire the aircraft portfolio of the Dublin-based lessor AMCK Aviation, jointly owned by CK Asset and Li Ka Shing Foundation.
Carlyle’s investment vehicle Maverick will acquire 125 narrowbody aircraft and an order book of 20 A320/321neos.
The total value of the existing fleet is more than US$4 billion, excluding the order book, the US asset manager says.
The transaction is expected to close in the second quarter of 2022 and is conditioned upon the satisfaction of certain customary closing conditions, including regulatory approvals.
Goldman Sachs is leading the acquisition financing for the transaction. Milbank is acting as legal counsel to the Carlyle-managed investment vehicle with Kirkland & Ellis advising on the formation of Maverick.
“We are pleased to acquire AMCK’s attractive portfolio, comprised of primarily narrowbody aircraft whose lessee counterparties have performed well in the COVID operating environment. This transaction will help us enhance our capabilities for airline customers and all of our investors across the Carlyle Aviation platform,” said William Hoffman, Chairman of Carlyle.
This is a substantial move from Carlyle as it aims to expand as much of its portfolio as possible, especially during COVID times where second-hand aircraft are becoming more available to access.