NEW YORK--(BUSINESS WIRE)--With 2017 behind us, Kroll Bond Rating Agency (KBRA) looks back at the Aircraft ABS transactions issued over the past year and focuses on several developing trends and challenges facing the sector.
First and foremost, 2017 was a record year for Aircraft ABS issuance, with 12 transactions totaling over $6.5 billion completed. Over the past several years, investor appetite has increased for the sector and spreads continued to tighten over the course of 2017. Companies who chose to access the capital markets in 2017 represented a “who’s who” of aircraft lessors, including a few repeat issuers as well as first time issuers. The profile of aircraft lessors that accessed the market for the first time in 2017 included several new companies with highly experienced management teams.
After an eventful 2017, KBRA anticipates that 2018 will continue at a similar pace. KBRA expects repeat issuances by certain sponsors and also new issuances by several issuers that plan to enter the market.
Please see KBRA’s research report, Aircraft ABS 2017: Year in Review, which was published today at www.kbra.com.