Private equity firm Terra Firma is to pay $2.5 billion plus the assumption of liabilities for Morgan Stanley’s aircraft leasing arm AWAS. Subject to regulatory approval and closing conditions, the deal is expected to be completed in the first half of this year. The Seattle-based leasing company has a portfolio of 155 aircraft, including Airbus A300s, A320s, A330s and A340s, Boeing 737s, 747s, 767s, 777s and MD-80s, and Fokker 70s. “We look forward to working with the company’s management team and its staff to ensure that it takes advantage of the strong asset management platform that it has developed and the significant opportunities that we believe exist in the aircraft leasing market,” says Terra Firma chief executive Guy Hands. Morgan Stanley says it plans to reinvest the proceeds of the sale in its core business.
Source: Flight International
