NAC has recently completed the placement of US$486m of unsecured debt through US$381 million Senior Unsecured Private Placement issuance and an US$105 million Unsecured Schuldschein offering. These issuances consist of 3,5,7,8, and ten-year tranches. The proceeds will be used to refinance aircraft within its portfolio. The issuances will rank pari passu with all other unsecured indebtedness of the Issuer, a wholly-owned subsidiary of NAC.
This private placement issuance follows the company’s inaugural issue in June last year and is a continuance of the program in migrating to an unsecured financing structure. The Schuldschein was the company’s first such issuance in this market as it seeks to widen its sources of unsecured funding.
‘We are very pleased with both these issues and the continuing operational flexibility it affords NAC as we continue to expand our customer base,” says CEO Søren M. Overgaard.
The US Private Placement issue was arranged by Citigroup Global Markets Inc. and BNP Paribas Inc., and the Schuldschein was arranged by Investec Bank.