Dublin-based aircraft leasing group Avolon is planning to add an additional 15 to 20 aircraft to its portfolio in 2013, which will require an additional $1 billion investment by the company.
Avolon’s chief operating officer John Higgins said this would not involve additional equity finance being raised from new or existing shareholders.
Instead, Avolon might to seek the funding via capital markets, possibly through an asset-backed securitisation.
“The capital markets are now potentially becoming of more interest to us,” he said, adding that significant financial warehousing facilities are also available to Avolon.
His comments followed the publication of a trading update for Avolon for 2012.
The company expanded its customer base to 34 airlines and its lending group to 24 banks.
It had a committed fleet of 167 aircraft at the year end and had raised $5 billion in debt and equity funding.
This included $300 million last year from the Government of Singapore Investment Corporation.
In addition, it raised $1.3 billion in new debt funding. Offices in Dubai and Singapore were also opened.
Mr Higgins said Avolon’s portfolio of aircraft had a carrying value of €3.7 billion on its balance sheet at the end of 2012.
He said the aircraft leasing market was “improving” although competition is also increasing as rivals seek to expand their activities.
