GA Telesis announces another US$1bn of funding capacity to support expanding inventory leasing business

GA Telesis has reported the launch of a specialty finance unit, Structured Credit Products (SCP) to focus on structured financial solutions for airline, MRO, and OEM customers. The initial focus strategy will be inventory leasing. Going forward SCP will explore other aviation finance products including originated secured lending, trading in public and private debt, and investments in other aviation related financial instruments. SCP will be led by Stuart Weinroth, Vice President, an industry veteran with over 20 years of experience in the aviation finance and leasing sector.
The initial SCP growth initiative will be enhancing the Company’s existing inventory leasing platform with a three-year capital allocation of US$1bn towards providing enhanced inventory leasing solutions to airlines around the globe. The forthcoming transition into new-technology narrowbody and widebody aircraft types has put a significant capital investment burden on operators to procure spare parts to support essential operations. GA Telesis’ innovative inventory leasing product provides medium to long-term financing under a lease structure, allowing airlines complete operational flexibility for a fixed monthly rent amount. GA Telesis has been an industry leader in the aircraft and engine parts market since its inception in 2002 and has consummated billions in parts sales over the past 15 years. GA Telesis pioneered the inventory leasing product to address the increasing capital needs of the evolving global commercial airline sector to support new aircraft deliveries. SCP will focus on spare parts related to Boeing 787 and 737MAX and Airbus A350 and A320NEO families of aircraft; however, lease opportunities for equipment related to other aircraft types will also be considered. GA Telesis has already closed and has financing commitments for over US$200m of inventory leases and expects to close over US$800m of new opportunities over the next 36 months.