NEW YORK, NY (October 17, 2018) – Kroll Bond Rating Agency (KBRA) affirms the issuer rating of BB- and the senior unsecured debt rating of B+ to Voyager Aviation Holdings, LLC (“Voyager” or “the Company”), formerly known as Intrepid Aviation Group Holdings, LLC, a Dublin-based aircraft leasing company whose assets are managed by Amedeo Capital Limited (“Amedeo”), a widebody aircraft asset manager with 50 aircraft under management, valued at in excess of $8 billion. The Outlook on the ratings is Stable. Additionally, KBRA assigns a B+ senior unsecured debt rating with a Stable Outlook to Voyager’s $500 million 8.5% senior notes maturing in 2021.
The BB- issuer rating of Voyager considers the value of the Company’s experienced executive team, demonstrated resilience, young fleet, strong contracted cash flows, continued support from shareholders to date and a stable outlook for the aircraft leasing industry. These strengths are constrained by the short operating history, high asset and customer concentration risks, limited liquidity, high asset encumbrance, relatively high leverage, as well as exposure to the highly competitive and cyclical global passenger airline industry. The ratings and Outlook also take into consideration the recently announced strategic partnership with Amedeo, Voyager’s shareholders’ continued investment in the aviation industry as well as Voyager’s plan to reposition its fleet, which KBRA views positively with an element of execution risk. Given the high level of asset encumbrance, the senior unsecured debt rating of B+ reflects a one-notch reduction from the issuer rating.
The ratings are based on KBRA’s Global Finance Company Rating Methodology, published on November 28, 2017. KBRA’s full rating report for Intrepid will be forthcoming.