Last checked at 4 Jun 2013 11:33
LSE: CLA
4 June 2013
CAPITAL LEASE AVIATION PLC(the "Company")
Acquisition of Airbus A321 Aircraft
Capital Lease Aviation PLC (LSE: CLA), announces that it has acquired an additional Airbus A321 on lease to Thomas Cook subsidiary Condor Flugdienst GmBH of Germany. The aircraft was acquired from another lessor and is leased to Condor until 29 April 2018. The aircraft variant is an Airbus A321-200 with CFM56-5B3/P engines and was manufactured in December 2001. The aircraft is registered in Germany.
The total consideration for the aircraft at closing is US$26.5m. The purchase price was satisfied in cash plus the assumption by the Company of certain liabilities under the operating lease of approximately $3m. The cash consideration was substantially financed with commercial senior secured debt which runs a term contemporaneous with the lease.
In addition to the commercial senior debt set out in the preceding paragraph, interests associated with two directors of CLA, Mr Soeren Ferré and Mr Jeff Chatfield, have provided a bridge finance in the form of short term unsecured debt finance (the "Bridge") of $5m at an interest rate of 9.75%. The Company will seek to re-finance the Bridge as soon as practicable. The Bridge provided by the Junior Lenders (as defined in the Appendix) are related party transactions under the AIM Rules as they are provided by a director of the Company or companies controlled by directors of the Company. Further details of the loans provided by the Junior Lenders are set out in the Appendix. The directors, other than the directors who are involved in the transaction, consider, having consulted with the Company's nominated adviser, WH Ireland, that the terms of the transaction are fair and reasonable in so far as the shareholders are concerned.
CLA's fleet of commercial aircraft now includes three Airbus A321's and one Airbus A320.
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ENQUIRIES
Avation PLC: | |
Jeff Chatfield (Executive Chairman)
| +65 9735 4151 |
W H Ireland Limited: | |
James Joyce
| +44 207 220 1666 |
APPENDIX
Further disclosures made pursuant to AIM Rule 13 in relation to the Bridge loan provided by the Junior Lenders (the "Junior Loans"):
- The Junior Loans are comprised of three separate loans advanced by each of Soeren Ferré, Fleet Solution Consulting Pte Ltd and Epsom Assets Ltd, and are all on the same terms.
- Soeren Ferré is a director of the Company.
- Soeren Ferré is a director of Fleet Solution Consulting Pte Ltd a company he controls.
- Robert Jeffries Chatfield, a director of the Company, is also a director of Epsom Assets Ltd.
- The total amount of the Junior Loans were $5.0m.
- The Junior Loans have an interest rate of 9.75% per annum.
- The Junior Loans are for a term of nine months extendable up to 12 months at the option of the Company.
- The Junior Loans are unsecured.