China Aircraft Leasing finalises $13 billion order for 100 Airbus planes

China Aircraft Leasing finalises $13 billion order for 100 Airbus planes

BEIJING - China Aircraft Leasing Group Holdings Ltd (CALC) (1848.HK: Quote, Profile, Research, Stock Buzz) on Tuesday said it has finalised a $10.2 billion (about S$12 billion) deal to buy 100 planes from European aircraft maker Airbus Group NV (AIR.PA: Quote, Profile, Research, Stock Buzz) subject to shareholder approval.

The jets will be delivered over the period 2016-2022, and will be funded by bank loans, debt, equity financing and working capital among other means, CALC said in a stock exchange filing.

The deal, first announced on Nov. 6, includes 74 A320neo planes. The A320neo is a revamped version of the bestselling 150-seat A320, offering fuel savings of 15 per cent and due to enter service late next year.

Hong Kong-based CALC is part of an expanding breed of Chinese leasing companies focusing on medium-haul aircraft for the country's crowded domestic routes.

China is the world's fastest-growing aviation market and is set to surpass the United States as the busiest domestic air travel market within 10 years, according to recent Airbus forecasts.

More about

Purchase this article for republication.

BRANDINSIDER

SPONSORED

Most Read

Your daily good stuff - AsiaOne stories delivered straight to your inbox
By signing up, you agree to our Privacy policy and Terms and Conditions.