TrueNoord announces completion of ownership transaction

Specialist regional aircraft lessor TrueNoord announced the completion of the acquisition of a 74% stake in the business by Arcus Infrastructure Partners with founding investor Freshstream re-investing to retain the remainder. The transaction marks an important step in TrueNoord’s evolution and provides a strong platform for the organisation’s next phase of growth, TrueNoord said. Backed by long-term and stable capital, TrueNoord is well-positioned to continue expanding its portfolio of Embraer, ATR, Airbus and De Havilland Canada aircraft while supporting airline customers across the regional aviation sector. Anne-Bart Tieleman, Chief Executive Officer of TrueNoord, commented: “It is with great pleasure that we welcome Arcus Infrastructure Partners as our new long-term shareholder. The successful completion of this transaction is a significant milestone for TrueNoord and a strong endorsement of the business we have built over the past 10 years. With Arcus’ support and Freshstream’s continued commitment, we further strengthen our standing as a leading specialist regional aircraft lessor, and will continue to deliver effective fleet solutions in partnership with airline customers worldwide.” Edward Lilley, Senior Investment Director at Arcus and Asset Manager of TrueNoord, commented: “We are delighted to have acquired a majority stake in TrueNoord and look forward to supporting management as they deliver the next stage of the business’ growth plans. Regional aircraft play a critical role worldwide, both economically and socially. Given the robust performance of the global aviation industry and the long-term, contracted nature of the business, aircraft leasing is widely recognised as a high-quality, core infrastructure asset class.” Avolon says Q2 net income hits US$209 million Aircraft lessor Avolon said its net income for the second quarter hit US$209 million for Q2, up 45% year-on-year, bringing trailing 12-month net income to US$702 million, up 31% year-on-year. The company said it generated US$501 million of operating cashflow during the quarter and US$2.4 billion over the last 12 months. It also said its rating was upgraded by S&P Global Ratings to BBB, aligning with Moody’s (Baa2) and Fitch (BBB). The company said it acquired 21 aircraft, sold 30 aircraft and ended the quarter with 109 aircraft agreed for sale and commitments for 503 aircraft. It reported total available liquidity of US$12 billion at end of Q2, including US$356 million of unrestricted cash and US$8 billion in undrawn debt facilities and unsecured to total debt ratio of 79%, with net debt to equity of 2.5 times and sources to uses ratio of 2.0 times. Andy Cronin, Avolon CEO, said: “We delivered another strong quarter, with net income increasing 45% year-on-year to US$209 million. During the period, S&P upgraded Avolon to BBB, aligning our ratings with Moody’s and Fitch, and reflects the strength of our business and balance sheet. With demand for aircraft remaining strong and supply constraints continuing across the industry, our orderbook positions us well for continued growth.” For Editorial Inquiries Contact: Editor Matt Driskill at [email protected] For Advertising Inquiries Contact: Head of Sales Sally Passey at [email protected]