Air Lease Corporation (NYSE: AL) (the “Company”) announced the pricing on November 17, 2020 of its public offering of (i) an additional $750.0 million aggregate principal amount of 2.875% senior unsecured medium-term notes due January 15, 2026 (the “2026 Notes”) and (ii) $750.0 million aggregate principal amount of 3.125% senior unsecured medium-term notes due December 1, 2030 (the “2030 Notes” and, together with the 2026 Notes, the “Notes”). The sale of the Notes is expected to close on November 24, 2020, subject to satisfaction of customary closing conditions.
The 2026 Notes will mature on January 15, 2026 and will bear interest at a rate of 2.875% per annum, payable semi-annually in arrears on January 15 and July 15 of each year, commencing on January 15, 2021. The 2030 Notes will mature on December 1, 2030 and will bear interest at a rate of 3.125% per annum, payable semi-annually in arrears on June 1 and December 1 of each year, commencing on June 1, 2021. The Company intends to use the net proceeds of the offering for general corporate purposes, which may include, among other things, the purchase of commercial aircraft and the repayment of existing indebtedness.
The 2026 Notes will have the same terms as, and constitute a single tranche with, the $700,000,000 aggregate principal amount of 2.875% Medium-Term Notes, Series A, due January 15, 2026 (the “Existing 2026 Notes”) that the Company originally issued on August 17, 2020. The 2026 Notes will have the same CUSIP number as the Existing 2026 Notes and will be issued as additional notes under the indenture governing the Existing 2026 Notes. The 2026 Notes are expected to trade interchangeably with the Existing 2026 Notes immediately upon settlement and be fungible with the Existing 2026 Notes. As a result, the outstanding aggregate principal amount of the Company’s 2.875% Medium-Term Notes, Series A, due January 15, 2026 as of the issue date of the 2026 Notes will be $1.45 billion.
BNP Paribas Securities Corp., BofA Securities, Inc., J.P. Morgan Securities LLC, NatWest Markets Securities Inc. (only with respect to the 2030 Notes) and Regions Securities LLC (only with respect to the 2026 Notes) are acting as joint book-running managers for the offering of the Notes.
The Notes are being offered pursuant to the Company’s effective shelf registration statement, previously filed with the Securities and Exchange Commission (the “SEC”) on May 10, 2018, as amended by the Post-Effective Amendment No. 1, filed with the SEC on November 20, 2018. The offering of the Notes is being made only by means of the prospectus supplement dated November 20, 2018, supplementing the base prospectus dated November 20, 2018, as may be further supplemented by any free writing prospectus and/or pricing supplements the Company may file with the SEC. Before you invest, you should read the base prospectus, prospectus supplement and any other documents the Company may file with the SEC for more complete information about the Company and this offering. You may obtain these documents for free by visiting EDGAR on the SEC’s website at www.sec.gov. Alternatively, copies may be obtained from: (i) BNP Paribas Securities Corp. at (212) 841-2871 or toll-free at (800) 854-5674, (ii) BofA Securities, Inc. toll-free at (800) 294-1322, or by e-mail at dg.prospectus_requests@bofa.com, (iii) J.P. Morgan Securities LLC collect at (212) 834-4533, (iv) NatWest Markets Securities Inc. (only with respect to the 2030 Notes) at 1-203-897-6166 or (v) Regions Securities LLC (only with respect to the 2026 Notes) at (404) 279-7400.
This press release does not constitute an offer to sell or the solicitation of an offer to buy the Notes, nor shall there be any sale of the Notes in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.