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SIA raises S$2b from sale-and-leaseback transactions for 11 aircraft


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SIA raises S$2b from sale-and-leaseback transactions for 11 aircraft

Mon, May 03, 2021 - 9:58 AM
 

NATIONAL carrier SIA: C6L +0.4% has raised S$2 billion from sale-and-leaseback transactions for 11 aircraft comprising seven Airbus A350-900s and four Boeing 787-10s.

Four different parties arranged the transactions, SIA said in a bourse filing on Monday. They are Aergo Capital, Altavair, EastMerchant/Crianza Aviation and Muzinich and Co.

The deal with aircraft leasing company Aergo Capital involves one Airbus A350-900 and one Boeing 787-10 aircraft. Meanwhile, the transaction with aviation finance company Altavair involves four Airbus A350-900s.

The EastMerchant/Crianza Aviation deal includes one Airbus A350-900 and two Boeing 787-10s. EastMerchant is a provider of asset-based finance and management solutions for the airline industry, while Crianza Aviation is a high-value aircraft lessor and asset manager.

 

The deal with Muzinich and Co, a privately-owned, institutionally-focused investment firm, involves one Airbus A350-900 and one Boeing 787-10 aircraft.

 

Including these sale-and-leaseback transactions, SIA has raised about S$15.4 billion in fresh liquidity since April 1, 2020. This amount includes the S$8.8 billion from its rights issue, S$2.1 billion from secured financing, S$2 billion via its convertible bonds and notes issuance, and more than S$500 million through new committed lines of credit and a short-term unsecured loan.

SIA chief executive Goh Choon Phong said the additional liquidity from the sale-and-leaseback transactions reinforces the group's ability to navigate the impact of the Covid-19 pandemic from "a position of strength".

Shares of SIA closed at S$4.95 on Monday, down by S$0.11 or 2.17 per cent.

 

https://www.businesstimes.com.sg/companies-markets/sia-raises-s2b-from-sale-and-leaseback-transactions-for-11-aircraft

 

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I.e. they are putting themselves deeper in debt by putting their planes up for collateral with legal loan sharks. The risk must be so big even our local banks won't take them.

Edited by Huat Zai
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19 hours ago, Huat Zai said:

I.e. they are putting themselves deeper in debt by putting their planes up for collateral with legal loan sharks. The risk must be so big even our local banks won't take them.

 

if u r aircraft leaser, would u want to support bolehsian air group instead???

 

https://www.theedgemarkets.com/article/malaysia-airlines-parent-malaysia-aviation-group-denies-mandating-goldman-sachs-guide

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5 minutes ago, socrates469bc said:

 

always got many many kgks who think they r smarter than the market and best part is never think logic.

 

so i just laugh at them.

 

wahahahahhaha

Me laugh Also

 

Ahhahahahahahha

 

 

 

 

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56 minutes ago, socrates469bc said:

 

if u r aircraft leaser, would u want to support bolehsian air group instead???

 

https://www.theedgemarkets.com/article/malaysia-airlines-parent-malaysia-aviation-group-denies-mandating-goldman-sachs-guide

Doesn't look like GS has a choice in the matter, minimum losses and make up for it in other businesses that GS will force boleh gov to give them lor

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14 hours ago, unclefcuker said:

Raise $2B from selling planes and then leasing them back is like you sell your house and pay rent to continue staying in it.

 

This will be seen as weakness unless they sold their planes at much higher price which i doubt so.

 

SIA got no choice leh! Already took SG money & spend 80% liao!

 

They need to pay high class salaries! 

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8 hours ago, Bigbird said:

 

SIA got no choice leh! Already took SG money & spend 80% liao!

 

They need to pay high class salaries! 

The way they burn money, it scary

 

 

Just like me, if I spend too much per month, I should review everything how to optimise as much as I can to control my spending

 

Like I don't need the rainfall and shopping mall, or features wall it a waste of money

 

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5 hours ago, The_King said:

The way they burn money, it scary

 

 

Just like me, if I spend too much per month, I should review everything how to optimise as much as I can to control my spending

 

Like I don't need the rainfall and shopping mall, or features wall it a waste of money

 

 

Its not their money that they are burning!  So they dont need to think!

 

When it comes to spending your own money......! its a different story!

 

You can see how ugly they become!

 

Remember this guy

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