Burnham Sterling & Co. LLC (Burnham Sterling), a financial advisory firm specializing in transportation assets, announced it acted as sole financial and placement advisor in a Japanese Operating Lease with Call Option (JOLCO) for Avianca, Latin America´s second-largest airline, the company said.
The transaction financed three aircraft, including one Boeing 787 and two Airbus A320s. It was Avianca´s first JOLCO transaction and the first JOLCO closed on an FAA-registered aircraft using a tokumei kumiai (TK) owner, a type of Japanese limited partnership, which is the preferred investment vehicle for Japanese investors. The transaction offered Avianca 100 percent financing at attractive rates with a fixed price early buyout option at approximately 10 years.
Burnham Sterling structured and placed the transaction with four institutional investors in Europe and Japan. Burnham Sterling and its affiliates have now financed 17 new narrow-body and wide-body aircraft for Avianca valued at over USD1.0 billion.
Burnham Sterling is a specialized financial advisor focused on the transportation and leasing industries that has closed billions of dollars in equipment financings for clients such as Airbus, Avianca, Delta Air Lines, SAS, United Technologies Corporation, and many more. Transactions include debt placements, tax-subsidized leases and operating leases. Burnham Sterling is affiliated with Greenwich Aircraft Leasing, a lessor/manager of 32 commercial aircraft on lease to major airlines in Europe and the Americas. For more information visit the company´s website at www.burnhamsterling.com.