FLY is reporting a net loss of US$3.4 million for the first quarter of 2021. This compares to net income of US$38.1 million for the same period in 2020. During the first quarter of 2021, FLY recognized US$5.9 million of costs associated with the pending transaction with Carlyle Aviation.
Adjusted net loss was US$1.4 million for the first quarter of 2021, compared to adjusted net income of US$43.6 million for the same period in the previous year. On March 31, 2021, FLY’s total assets were US$3.1 billion, including investment in flight equipment totaling US$2.8 billion. Total cash on March 31, 2021 was US$151.2 million, of which US$117.2 million was unrestricted. On March 31, 2021, FLY’s net debt-to-equity ratio was 2.2x, reduced from 2.3x as of December 31, 2020.
FLY announced on March 29, 2021 that it had entered into a definitive agreement to be acquired by an affiliate of Carlyle Aviation Partners (Carlyle Aviation), the commercial aviation investment and servicing arm within The Carlyle Group’s US$56 billion Global Credit platform. Under the terms of the merger agreement, FLY shareholders will receive US$17.05 per share in cash, representing a total equity valuation of approximately US$520 million. The total enterprise value of the transaction is approximately US$2.36 billion.
The transaction is expected to close in the third quarter of 2021 and is subject to customary closing conditions, including applicable regulatory clearance and the approval of FLY’s shareholders.
