Stellwagen Capital’s Asset Under Management reaches almost €1.6 billion Stellwagen Capital, part of the Stellwagen Group, a leading commercial aviation advisory and asset management business, announced today (Tuesday, 18 July 2017), that it has given its first loan from its recently launched Senior Loan investment vehicle (Stelloan Investment Company I DAC). The 10-year loan to CALC is secured against a new Airbus A321 valued at $116 million, at current list prices. The loan has a balloon structure, which makes it a very attractive financing option for leasing companies and airlines as it minimises cash outflows during the tenor of the loan.
Commenting on the significance of this key transaction, Douglas Brennan, CEO of Stellwagen Group said:
“This is a game changer for the Group as we have now successfully expanded our operation and issued our first loan to CALC. We see substantial opportunities to further develop this business as the total aircraft financing market expands to in excess of $200 billion in 2017. The effective closure of the European and U.S. Export Credits Agencies, along with the retrenchment of the commercial aviation banks post Lehman Brothers, has created a real opportunity to grow our business by delivering new innovative financing structures to both airlines and leasing companies.
Howard Millar CEO of Stellwagen Capital and COO of Stellwagen Group said:
“We have received great interest from around the world for our new innovative loan solutions and we are delighted to conclude this important first loan transaction with CALC, an internationally recognised lessor. A second Airbus A321, with a similar list price will be financed by us for CALC in late September. This new senior loan product delivers innovative and bespoke financing to airlines and lessors, secured against high quality and liquid aircraft collateral, like the Airbus A321. We have a pipeline of similar opportunities, which we will execute over the coming months. This loan, in addition to the recent acquisition of ECN Capital’s commercial and aviation advisory and asset management business (“ECN”), based in Stamford Connecticut, will bring Stellwagen Capital’s total assets under management (“AUM”) to almost $1.6 billion. By the end of 2017, we expect to have in excess of $3 billion of AUM”.
Christian McCormick, Managing Director, Finance of CALC said:
“We are very proud to establish the partnership with Stellwagen Capital, a world-class and new financier offering innovative solutions, and being part of the initial investment of its senior secured aircraft financing company. The transaction again highlights that CALC’s fundamental business strength is recognised among international investors and financiers. Looking forward, CALC will continue to explore a variety of financing channels in the global capital markets to ensure flexibility for its sustainable development and business expansion plans globally.”
The Group has a number of companies headquartered in Dublin, Ireland, Stellwagen Capital, Stellwagen Finance Company, Seraph Aviation Management and Stellwagen Technology.
Stellwagen Capital Limited (“StellCap”) is the exclusive credit investing arm of the Stellwagen Group, focused on credit-oriented investment strategies in industries in which the Group has exceptional operating and financial competence. StellCap draws on the Group’s operating companies to deliver superior investment products to help institutional investors, banks and individuals invest in industrial fixed income strategies. StellCap currently specializes in aviation debt with key areas of focus that include senior secured loans, high yield instruments, and operating lease debt and stressed / distressed debt. The firm oversees investment companies that will deploy capital for banks, insurance companies, foundations, fund of hedge funds, and high net worth investors.
CALC (SEHK stock code: 01848) is the first full value-chain aircraft solutions provider in Asia. Together with its member company Aircraft Recycling International Limited (“ARI”), Asia’s first provider of total aircraft solutions for aging aircraft, CALC provides customers with aircraft full life-cycle solutions, covering aircraft leasing, fleet planning consultation, structured financing, sale and leaseback, fleet replacement package deals, third party aircraft resale as well as aircraft recycling services. With a professional team that has extensive international aviation market experience and its globalised sources of financing, CALC is currently the largest independent aircraft operating lessor in China in terms of the total number of aircraft under ownership plus new aircraft in its order book, and has successfully expanded to the Asia, European and American markets.
Listed on the main board of the Stock Exchange of Hong Kong on 11 July 2014, CALC is the first aircraft lessor listed in Asia. CALC is currently a constituent stock of the Hang Seng Global Composite Index, the Hang Seng Composite Index, MSCI China Small Cap index, and an eligible stock under southbound trading of Shenzhen-Hong Kong Stock Connect. CALC was named “Aircraft Lessor of the Year” 2015 and 2016 respectively by Global Transport Finance for its expertise in delivering outstanding services and providing effective financing solutions to a diverse range of customers.