KDB Bank, Woori Bank and Industrial Bank of Korea have recently lent a total of US$130 million to CMIG Aviation, a subsidiary of China Minsheng Investment Group, and to Lion Air, in two separate transactions.
Lion Air secured a $50 million senior loan from KDB Bank, who was part of a $420 million refinancing deal for 51 aircraft -- 21 B737-900ERs, and 30 aircraft on order by Lion Air, including B737 MAX 8s and 9s as well as the A320/A321neo. The deal also included GECAS (US) and its subsidiary, PK AirFinance (Luxembourg).
The loans have a six-year term, and include a $77 million loan lent by the carrier's parent, Lion Air Group.
In a separate transaction, CMIG Aviation secured $40 million and $39 million, respectively from Woori Bank and Industrial Bank of Korea, to finance one A330 on lease to Sichuan Airlines.
Woori arranged a total of $80 million in financing for the purchase.