ADIA and partners establish $1.4 billion aviation venture
Arabian Post Staff -Dubai Abu Dhabi Investment Authority has joined I Squared Capital and aircraft lessor Avolon to establish Constellation Aviation, a leasing investment platform expected to acquire 22 aircraft valued at $1.4 billion. The agreement, announced on 2 November, brings together a wholly owned subsidiary of the Abu Dhabi sovereign wealth fund, the Miami-based infrastructure investor…
Abu Dhabi Investment Authority, infrastructure investor I Squared Capital, and aircraft lessor Avolon have formed Constellation Aviation, a $1.4 billion leasing investment platform. The venture combines the funds' long-term capital with Avolon's leasing, servicing, and asset management expertise to acquire 22 aircraft worth $1.4 billion.
The initial aircraft, valued at approximately $1.4 billion, is already leased to 17 airlines across 15 countries, providing a base of contracted rental income. Avolon, with a minority equity stake, will manage the aircraft and relationships with airlines while external institutional capital is brought in by the investors. The transaction requires regulatory approvals and is expected to expand over time as aircraft leasing continues to support airlines' fleet renewal needs and generate contractual payments over extended periods.
Written by urgent.news from Arabian Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
