NEWS

planes on gates

WFW advises CALC on first JOLCO transactions in respect of two A320-214 aircraft leased to Pegasus Airlines

28 July 2016

International law firm Watson Farley & Williams (“WFW”) has advised China Aircraft Leasing Company Ltd. (“CALC”) in connection with the financing and leasing of two Airbus A320-214 aircraft msn 7145 and 7200 leased to Pegasus Airlines by means of a Japanese Operating Lease with Call Option (“JOLCO”).

This is the first time that CALC has used a JOLCO transaction to fund its aircraft deliveries and the first time a JOLCO has been used to finance aircraft for Turkish airline Pegasus Airlines. This is the latest in a series of deals from CALC which has escalated and diversified its funding strategy over the last year. CALC currently has over 130 A320 aircraft on order.

The JOLCO was arranged by Asset Brok’Air, with Crédit Agricole Corporate and Investment Bank arranging the debt. The bank also acted as facility agent, security trustee and swap counterparty.

WFW advised CALC on the documentation and negotiation of the financing and security documents, liaising with local counsel and with Pegasus throughout.

The WFW team was led by Paris-based finance partner Charles Viggers, supported by associates Charlotte Bown and Lucy Todd and trainee Natasha Seel.