LONDON (Alliance News) - Capital Lease Aviation PLC on Friday said it has entered into an agreement to buy an Airbus A320-200 for USD34.3 million.
The commercial passenger aircraft leasing company said the transaction will be funded by its existing cash alongside bank debt finance of USD25 million.
The acquisition is expected to take place by December 31, giving Capital Lease Aviation a total of four A320 aircraft.
At December 31, the average life of the aircraft in CLA's portfolio will be 11.5 years, and the average remaining lease duration will be 4.6 years.
"We are pleased with the agreement to acquire an additional A320-200 in CLA, which is on lease and is supported with cash maintenance reserves. The acquisition of the aircraft is another desirable growth opportunity for the company and fits well within CLA's investment criteria," Chairman Jeff Chatfield said in a statement.
CLA didn't say to whom the aircraft is leased.
Shares in Capital Lease Aviation were untraded on Friday, last quoted at 23.80 pence.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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Celsius Res (CLA)